Big Tech is in a Race for Nukes to Power AI | The Daily Trade
Good morning, traders. Happy Wednesday, October 16th. The market is climbing, and big tech companies are competing to amass the largest power supply for AI.
My name is Kevin Travers; here's the top news today for your daily trades.
$United Airlines (UAL.US)$ was the highest gainer on the S&P 500, up about 9% after the airline posted a strong demand and higher revenue for its Tuesday night Q3 report and earnings above estimates.
$Morgan Stanley (MS.US)$ climbed 7% after its morning earnings report broke through estimates- and showed revenue rose 16% in the quarter. According to the Wall Street Journal, America's largest banks reported strong earnings in part due to an interest rate environment that boosted investment bank revenue.
$ASML Holding (ASML.US)$ fell a further 6% after a 15% drop Tuesday following far less orders in the past quarter than expected. Wednesday, the firm held an earnings call that did not change the direction.
$Novavax (NVAX.US)$ fell 19% Wednesday after the FDA placed a hold on a clinical COVID-19/influenza combination treatment trial.
Within industries tracked by moomoo, Uranium stocks were among the highest, after news that $Amazon (AMZN.US)$ would join $Alphabet-C (GOOG.US)$ investing in nuclear energy production to power cloud services and AI. Amazon signed a deal Wednesday to develop four small modular reactors with Energy Northwest to generate 960Mw of electricity. On Monday, Google said it would construct similar reactors with Kairos Power in California to buy 500 Mw of power, and Microsoft last month signed a deal to buy more than 800Mw of power from a new Unit 2 on Three Mile Island in PA.
$Crude Oil Futures(JAN5) (CLmain.US)$ fell 1%, while $Bitcoin (BTC.CC)$ hovered $67k. Gold and silver climbed to near all-time highs; gold prices were 15C from an all time high, and silver was 80C away. $U.S. 2-Year Treasury Notes Yield (US2Y.BD)$ and the $U.S. 10-Year Treasury Notes Yield (US10Y.BD)$ fell.
The market climbed on Wednesday, with the S&P 500 within 50 points of a trading high, but tech was pulling back.
Just past 11:32 am ET, the $S&P 500 Index (.SPX.US)$ traded +0.15%, the $Dow Jones Industrial Average (.DJI.US)$ climbed 0.45%, and the $Nasdaq Composite Index (.IXIC.US)$ fell 0.01%
Mary Daly, president of the SF Fed, told reporters Tuesday that strong economic data does not mean inflation is on its way back. Speaking to a New York University crowd, Daly said she would support taking a break from cuts for a meeting or two.
"You can't, in my judgment, reflexively say, 'I have stronger-than-expected growth, I have stronger-than-expected employment, inflation must be around the corner,' " Daly says.
Minneapolis Fed President Neel Kashkari said at a Tuesday bank conference that the neutral rate must be higher after aggressive rates failed to cause a recession in 2022 and 2023. Seeking Alpha reported he was unsure of the way forward besides gradually lowering rates over the next few quarters.
Monday, Fed Gov. Chris Waller said the economy is much stronger than previously thought, and the labor market remains quite healthy, speaking at Stanford University in California. According to MarketWatch, Waller noted that the Fed and Wall Street had been fooled by reports over the summer that indicated the economy was slowing.
"To remind you of how bad the markets viewed the July data, some Fed watchers were calling for an emergency [Fed] meeting to discuss a rate cut," Waller said.
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Yesterday, one user said United was growing well and on a good path to success.
Traders, what do you think, is the market in 2024 about following the herd? What you watching on the stock market today? What is the herd following? Let me know in the comments below!
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Moomoo News and Community Manager
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Cypher : “Daly said he would support taking a break from cuts…”
Hey Kevin, I believe the proper pronoun for Mary Daly is she*
@Kevin Travers
Cypher : “…after aggressive rate cuts failed to cause a recession in 2022 and 2023.”
Rate hikes* not cuts
@Kevin Travers
Kevin Travers OP Cypher : Are you investing or watching anything today or just spell checking?
Stock_Drift : Watching: $GRI Bio (GRI.US)$ $Carmell (CTCX.US)$ and $Wearable Devices (WLDS.US)$
Stock_Drift Kevin Travers OP : $Carmell (CTCX.US)$ is a boomer. I sold my position and got back in. Ha. 156M volume at 2:00pm
Kevin Travers OP Stock_Drift : I gotta check it out!
Stock_Drift Kevin Travers OP : 161M volume now
Cypher Kevin Travers OP : Don’t worry about I’m doing right now. Just make sure to correct these mistakes instead of being so defensive. Your articles are filled with errors on a daily basis and the least you can do is to adopt a positive attitude when facing valid criticism.
Kevin Travers OP Cypher : I’m serious, can I interview you? You must have experience in news publishing! I’m always looking for moomoo community members with valuable insight
Cypher Kevin Travers OP : No I don’t have in news publishing. Grammar and vocabulary are taught in high school. They’re basic skills
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