A.I. valuation fears persist following Burry warning
Market jitters over A.I. valuations persist. ‘Big Short’ investor Michael Burry says hyper-scalers are overstating their earnings while Japan’s Softbank sees its share price plunge following the sale of its stake in Nvidia. The company has pledged to double down on its OpenAI investment. Germany’s Infineon hikes the FY forecast for its A.I. data centre revenue despite Q4 earnings coming in below expectations. CFO Sven Schneider is confident the A.I. boom will continue to drive the company’s success. And in UK politics, a briefing war is raging with reports and counter-reports of a Labour leadership contest to oust Prime Minister Sir Keir Starmer just a fortnight before his Chancellor’s high-stakes budget.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
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29:09
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29:09
Senate approves bill to end U.S. government shutdown
The U.S. Senate passes a bill that could re-open government within days and restore federal funding programs until the end of January. Markets have reacted positively to the news with the Nasdaq posting its best session since May. President Trump is mulling tariff relief for Switzerland with some reports suggesting levies could be slashed from 39 per cent to 15 per cent. And in tech news, Softbank posts a $19bn gain at its Vision Fund following investment into OpenAI.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
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27:18
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27:18
U.S. Senate Makes Progress on Shutdown Deal, Novo Nordisk Loses Out to Pfizer
The U.S. Senate progressed a deal towards ending the longest U.S. Government shutdown in history. Eight democrats joined all but one republican in voting to move forward with a funding bill that will keep the U.S. Government liquid through January 30th, drawing rebuke from Democratic party leaders given the deal’s lack of guarantees on healthcare. Meanwhile, China will resume exports of Nexperia chips following a row with the Dutch government, potentially giving a boost to the autos industry which had been hit by the supply shock. In pharma news, the battle between Pfizer and Novo Nordisk for weight-loss biotech Metsera has ended, with the Danish conglomerate losing out in the $10 billion deal.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
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30:12
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30:12
Tech sell-off resumes, BOE holds rates steady in tight call
The global tech sell-off resumes on persistent A.I. valuation and central bank policy fears. The Bank of England held rates steady at 4.00% yesterday in a tight 5-4 split. BOE Governor Andrew Bailey tells CNBC’s Ritika Gupta that inflation is still his primary focus, despite the recent softening in the labour market. Meanwhile, Tesla shareholders approved Elon Musk’s $1 trillion pay package, the payout of which hinges on the CEO reaching lofty targets on humanoids and robo-taxis.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
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26:57
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26:57
Global stocks stabilise as valuation fears abate, SCOTUS and BOE rate decision in focus
Global markets stabilize following the valuation-fueled tech rout, though the outlook for A.I. adoption remains mixed. In the U.S., the Supreme Court is hearing arguments over the legality of President Trump’s sweeping tariff agenda, with legal scholars split over the likely outcome. In the U.K., focus is back on the Bank of England ahead of today’s rate decision, with analysts split over the path forward given the recent spate of weaker data. It’s another busy day on the earnings front – Commerzbank reported a surprise fall in third quarter profit, though raised its revenue outlook with CEO Bettina Orlopp telling CNBC net interest income is improving. Meanwhile, the UK’s most valuable company, AstraZeneca, reported a strong set of results, beating on revenue and EPS while reiterating its full year guidance.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
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