Group 1 - OpenAI and Broadcom have announced a long-term strategic partnership to develop and deploy custom AI accelerators with a total capacity of 10 gigawatts (GW) [1][2] - OpenAI will lead the design of the AI accelerators and system architecture, leveraging its expertise in cutting-edge AI model development to optimize chip performance for core scenarios like inference [2] - Broadcom will collaborate on the development and deployment, providing networking systems including Ethernet solutions to ensure the accelerator racks can meet large-scale computing demands through vertical and horizontal scaling [2] Group 2 - The initial deployment of AI accelerators and networking system racks is planned for the second half of 2026, with the goal of completing the full 10GW capacity by the end of 2029 [2] - These racks will be deployed in OpenAI's own data centers and partner facilities, providing foundational support for global AI applications [2]

Market Overview - On October 13, US stock markets experienced a significant rebound, with major indices showing strong gains. The Dow Jones Industrial Average rose by 1.29%, the S&P 500 increased by 1.56%, and the Nasdaq Composite climbed by 2.21% [2][4]. Technology Sector - The semiconductor sector led the market rally, with Broadcom's stock surging over 9% following the announcement of a strategic partnership with OpenAI to develop custom AI accelerators and Ethernet solutions [4]. - The broader technology sector also saw gains, with the US Tech Giants Index rising by 2.02%. Notable individual stock performances included Tesla, which increased by over 5%, and Nvidia, which rose by more than 2% [4]. Chinese Stocks - Chinese stocks listed in the US saw substantial increases, with the Nasdaq Golden Dragon China Index rising by 3.21% and the Chinese Tech Leaders Index increasing by 2.78%. Individual stocks such as Century Internet surged over 10%, while Alibaba and JD Group both rose by over 4% [4]. Precious Metals - The precious metals market strengthened, with COMEX silver futures prices soaring by 7.47%. The London silver spot price increased by 4.39%, while COMEX gold futures rose by 3.24% and London gold spot prices increased by over 2% [4]. Oil Market - In the oil market, light crude oil futures for November delivery rose by $0.59, closing at $59.49 per barrel, marking a 1.0% increase. Brent crude oil futures for December delivery also increased by $0.59, closing at $63.32 per barrel, a rise of 0.94% [6].

Market Overview - The US stock market opened higher on October 13, with the Dow Jones up by 1.05%, Nasdaq up by 2.08%, and S&P 500 up by 1.48% [1] - The Philadelphia Semiconductor Index surged over 4.5% at the opening [2] Company Developments - OpenAI and Broadcom are collaborating to develop systems that include Broadcom's accelerators and Ethernet solutions for both vertical and horizontal scaling, with deployment planned to start in the second half of 2026 and completion by the end of 2029 [4] - OpenAI will design the accelerators and systems, allowing it to integrate knowledge from developing cutting-edge models directly into hardware, unlocking new capabilities and intelligence levels [4] Sector Performance - Rare earth concept stocks saw significant gains, with USA Rare Earth rising over 18% and Critical Metals increasing by over 13% [6] - Chinese concept stocks also experienced substantial growth, with the Nasdaq Golden Dragon China Index up over 3%, including Alibaba and Baidu both rising nearly 5% [7] Commodity Prices - Spot gold prices increased by over 1.5%, reaching $4,093 per ounce, marking a new historical high [9] - COMEX silver futures rose by 6.5%, priced at $50.33 per ounce, while spot silver surpassed $52 per ounce, also setting a new record high [9] - Bank of America’s global commodities team has a bullish outlook on precious metals, setting a target price of $65 per ounce for silver by 2026 [9]

Core Viewpoint - The focus of investors on NVIDIA's Q2 earnings report will be on its data center business, which is crucial for revenue generation through high-performance AI processors [1] Group 1: Data Center Business - NVIDIA's data center segment generated $115.1 billion in revenue last fiscal year, with the network business contributing $12.9 billion, surpassing the gaming segment's revenue of $11.3 billion [1] - In Q1, the network business contributed $4.9 billion to the data center revenue of $39.1 billion, indicating strong growth potential as AI computing power expands [2] Group 2: Network Technology - NVIDIA's network products, including NVLink, InfiniBand, and Ethernet solutions, are essential for connecting chips and servers within data centers, enabling efficient AI application performance [1][2] - The three types of networks—NVLink for intra-server communication, InfiniBand for inter-server connections, and Ethernet for storage and system management—are critical for building large-scale AI systems [3] Group 3: Importance of Network Business - The network business is considered one of the most undervalued parts of NVIDIA's operations, with its growth rate described as "rocket-like" despite only accounting for 11% of total revenue [2] - Without the network business, NVIDIA's ability to meet customer expectations for computing power would be significantly compromised [3] Group 4: AI Model Development - As enterprises develop larger AI models, the need for synchronized GPU performance is increasing, particularly during the inference phase, which demands higher data center system performance [4] - The misconception that inference is simple has been challenged, as it is becoming increasingly complex and similar to training, highlighting the importance of network technologies [5] Group 5: Competitive Landscape - Competitors like AMD, Amazon, Google, and Microsoft are developing their own AI chips and network technologies, posing a challenge to NVIDIA's market position [5] - Despite the competition, NVIDIA is expected to maintain its lead as demand for its chips continues to grow among tech giants, research institutions, and enterprises [5]