Company Developments - DraftKings (NASDAQ: DKNG) has entered the prediction market industry through the acquisition of Railbird Technologies, a CFTC-licensed exchange, marking a strategic expansion beyond sports betting [3] - The company plans to launch a new mobile app, DraftKings Predictions, allowing users to trade on real-world outcomes across multiple exchanges [4] Industry Trends - Netflix (NFLX) is collaborating with Mattel (NASDAQ: MAT) and Hasbro (NASDAQ: HAS) to produce merchandise for the K-Pop Demon Hunters franchise, which includes toys, games, and collectibles [4][5] - The merchandise will be available at retail starting spring 2026, coinciding with the 2026 holiday season [6] Market Reactions - DraftKings shares rose by 5.4% in premarket trading following the announcement of its acquisition [3] - Mattel's shares closed 2.45% higher despite reporting an earnings and revenue miss, while Hasbro's shares experienced a slight decline of 0.5% in premarket trading [7]

Company Developments - DraftKings (NASDAQ: DKNG) has entered the prediction market industry through the acquisition of Railbird Technologies, a CFTC-licensed exchange, marking a strategic expansion beyond sports betting [3] - The company plans to launch a new mobile app, DraftKings Predictions, allowing users to trade on real-world outcomes across multiple exchanges [4] Industry Trends - Netflix (NFLX) is collaborating with Mattel (NASDAQ: MAT) and Hasbro (NASDAQ: HAS) to develop merchandise for the K-Pop Demon Hunters franchise, which includes toys, games, and collectibles [4][5] - The merchandise rollout is set to begin in spring 2026 and will feature products inspired by popular K-Pop groups [6] Market Reactions - DraftKings shares rose by 5.4% in premarket trading following the announcement of its acquisition [3] - Mattel's shares closed 2.45% higher despite reporting an earnings and revenue miss, while Hasbro's shares experienced a slight decline in premarket trading [7]

And so how do you describe your investment process. I'm looking at your 13F, your most recent one at least, and they obviously changed, but I'm seeing names that I remember us discussing last year, SLM Corp. Your prior to that, Concentrics, which didn't do particularly, >> has not done has not done well. >> You still own these things.>> We do. So our we're are long-term oriented. So as you know, going back to Buffett, patience and time is the friend of a long-term investor.And usually it's that long-term ho ...

Core Insights - The demand for computing services remains strong and is expected to continue growing, with companies struggling to keep up with this demand [2][3] - Concerns about an AI bubble are being discussed, but the influx of investment from major companies like Microsoft, OpenAI, Google, and AWS indicates a healthy market rather than a bubble [4][6] - The narrative around circular investing is viewed as misleading; while there are choke points in the industry, they do not equate to systemic issues [9][10] Company-Specific Analysis - CoreWeave has raised over $25 billion, and its debt structure is designed to support its business model, where clients sign contracts that back the debt incurred [11][15] - The company is experiencing rapid revenue growth but is currently operating at a loss, raising questions about the sustainability of its debt load [12][14] - The long-term strategy involves hyperscalers building some of their infrastructure in-house while still relying on third-party services like those provided by CoreWeave [17][18]

RT Bloomberg Live (@BloombergLive)Is an AI bubble coming? "I think it remains to be seen. We are not taking that strategy." @cohere's @aidangomez #BloombergTech@Lynnmdoan⏯️ https://t.co/nnRX4STmti https://t.co/tQGNnbDBi7 ...

Jordi Visser (@jvisserlabs) explains why we shouldn't be worried about the "AI bubble." https://t.co/Gg4vRomJyL ...

AI & Economy - The economy is currently experiencing an AI-driven boom, which is a positive factor contributing to outperformance compared to the rest of the world [2][3] - This AI boom is characterized as a "rational bubble" with significant investment in various AI companies, leading to competition and innovation [3] - While the AI sector promises substantial productivity gains, only a few companies are expected to emerge as winners, implying potential losses for some investors [3][4] Gold & Dollar - Global concerns about the US dollar's stability are driving central banks and institutional investors to diversify into gold [5] - The increasing allocation to gold by central banks and institutional investors, coupled with speculative activity, is expected to continue pushing gold prices upward [6] - Gold price may reach $5,000 this year [7] Bitcoin - Bitcoin's fundamental holding is still smaller than gold, and the speculation side is much larger than for gold, resulting in higher volatility [7] - Bitcoin is still evolving and has not yet developed the fundamental characteristics of gold [7][8] Financial Stability & Private Credit - Isolated cases of financial strain are expected due to excessive risk-taking in pursuit of returns, but these are not considered systemic threats to financial stability [9][10] - Private credit is viewed as separate from the banking system, providing financing to companies that might not otherwise have access [8][11]

October is half over. To this point, the 2025 edition of the tenth month of the year hasn't produced catastrophic equity market crashes as past Octobers have. On the other hand, this month hasn't exactly been smooth sailing. Again, the month is about half over, and markets have already been roiled by President Trump renewing harsh trade rhetoric against China and news that investment bank Jefferies and a pair of sizable regional banks are sitting on stacks of sour loans. That's sparking concern that situati ...

Group 1: OpenAI and Chip Deals - OpenAI has announced a deal to purchase 10 gigawatts of computer chips from Broadcom, continuing its trend of significant acquisitions in the AI sector [1] - This follows similar agreements with AMD and Nvidia, raising concerns about OpenAI's extensive connections with major US companies and the potential for an AI-driven market bubble [2][5] Group 2: Impact on European Companies - Analysts suggest that OpenAI's success could positively impact European companies like ASML, as demand and revenues flow through the supply chain from data center companies to chip manufacturers [3][4] - ASML's lithography machines are crucial for producing advanced chips, and there is optimism about ASML's earnings recovering by 2027, indicating strong market demand [15][16] Group 3: Market Valuations and Risks - The IMF's global financial stability report warns that equity and corporate credit valuations are stretched, driven by enthusiasm for AI mega-cap stocks, which could lead to a sudden market correction [5][8] - Current stock valuations are estimated to be about 10% overvalued on average, which is less than the 20% overvaluation seen during the tech bubble of 1999 [8] Group 4: Supply Chain Concerns - There are concerns about the interconnectedness of the supply chain, where issues in major tech firms could have significant knock-on effects throughout the semiconductor industry, impacting companies like Nvidia and TSMC [14][17] - If demand from hyperscalers decreases, it could lead to reduced orders for chips, affecting TSMC's capacity and subsequently ASML's machinery sales [17]

Core Viewpoint - Economist Justin Wolfers argues that fears of an AI bubble may be overstated, suggesting that the high valuations in the tech sector could be justified by genuine technological advancements [1][2]. Group 1: AI Boom and Market Valuations - Wolfers describes the AI boom as a potential "beautiful industrial revolution," indicating that significant investments align with a real technological shift [1]. - He emphasizes that while the market could be in a bubble, the current valuations may be rational if AI fulfills its potential in automating tasks [2]. - Goldman Sachs supports this view, projecting an $8 trillion opportunity in AI and asserting that current investment levels are sustainable [3]. Group 2: Diverging Perspectives on the Market - There is a stark contrast between bullish and bearish perspectives, with some analysts labeling the market as "Dotcom on steroids," citing deteriorating company fundamentals [3]. - Crescat Capital highlights that top tech stocks are valued 270% higher as a percentage of GDP compared to the dot-com peak, raising concerns about current market conditions [3]. Group 3: Economic Conditions and AI Investment - Wolfers warns against overconfidence in identifying market bubbles, stating that certainty often leads to errors in judgment [2][4]. - He notes that the U.S. economy is effectively operating as "two economies," with the AI boom masking weaknesses in other sectors, suggesting a potential "non-AI recession" without AI-related investments [4]. Group 4: Performance of AI-Linked Stocks and ETFs - The S&P 500 index has gained 13.55% year-to-date, while many AI-linked stocks and ETFs have significantly outperformed the market [5]. - Notable performers include the iShares US Technology ETF with a year-to-date performance of 23.58% and Nvidia Corporation with a 32.47% increase [6][7].