Wall Street is oriented in slightly positive territory before the market this Monday. The S&P 500 thus gained 0.2%, the Dow Jones 0.1% and the Nasdaq 0.3%. The week will be especially marked, on the American market, by the latest inflation figures and the quarterly results of major retailers. In the meantime, announcements and rumors are multiplying in the field of AI… On the Nymex, a barrel of WTI crude is up 0.8% to $78.9. An ounce of fine gold lost 1% to $2,352. The dollar index lost 0.2% against a basket of currencies.
This Monday, economic news remains limited with simply an intervention from Loretta Mester, boss of the Cleveland Fed, at the time of the opening of the markets.
Tomorrow, investors will follow at 2:30 p.m. the producer price index for the month of April (consensus +0.3% compared to the previous month or +2.2% over one year; +0.2% and +2 .3% over one month and one year, excluding food and energy).
On Wednesday, the consumer price index for the month of April will take the spotlight at 2:30 p.m. (consensus +0.4% compared to March and +3.4% over one year; +0.3% and +3, 6% excluding food and energy). At the same time, operators will monitor retail sales for the month of April (consensus +0.4%), as well as the New York Fed’s Empire State manufacturing index for the month of May. Corporate stocks and the US housing market index will be announced at 4 p.m., while the Department of Energy’s weekly report on domestic oil stocks will be revealed at 4:30 p.m. Neel Kashkari, head of the Minneapolis Fed, will also speak on Wednesday evening.
Thursday, the day will be busy again, with housing starts and building permits at 2:30 p.m., weekly unemployment registrations, as well as the Philadelphia Fed’s manufacturing index and even import and export prices. ‘export. Industrial production figures will be announced at 3:15 p.m. by the Fed. Patrick Harker, Loretta Mester and Raphael Bostic from the Fed will speak during the day.
Finally, on Friday, the Conference Board Leading Indicator Index will be followed at 4 p.m.
Corporate news on Wall Street, apart from the numerous expected announcements in the field of artificial intelligence (OpenAI or Alphabet in particular), will be marked by the quarterly results of retailers Walmart and Home Depot, as well as those of Cisco.
Tencent Music and Legend Biotech release this Monday. Home Depot and Alibaba announce before market tomorrow. Cisco publishes Wednesday evening. Walmart, Deere, Baidu and JD.com report Thursday before market, while Applied Materials, Copart and Take-Two Interactive reveal their accounts after the close.
Values
Microsoft is gaining ground before the OpenAI announcements, while Alphabet is losing almost 3%. The AI startup behind ChatGPT is set to present updates today regarding the flagship chatbot and GPT-4. Its director Sam Altman specifies on X that it is “not gpt-5, not a search engine, but we have been working hard on new things that we think people will love! it is like magic to me.”
Apple is set to include OpenAI’s ChatGPT in iOS 18 for iPhone, Bloomberg reported. The move is part of Apple’s efforts to add AI features to its devices. The Californian group from Cupertino, formerly the world’s largest market capitalization, also had discussions with Google (Alphabet) on the use of Gemini, recalls Bloomberg. So, people familiar with the matter say that Apple and OpenAI are finalizing the terms of a deal that will include ChatGPT features in the next iPhone operating system. Bloomberg’s sources say that Apple’s discussions about licensing Gemini from Google are also continuing. The New York Times reported that during its worldwide developers conference on June 10, Apple would intend to position Siri as a more private version of OpenAI’s ChatGPT…
OpenAI, the AI startup supported by Microsoft, is also working on an AI voice assistant, according to The Information. People with knowledge of the new AI have indicated that the company is preparing to introduce technology that – using superior logical reasoning than its current products – would speak with people through oral and visual communication and recognize objects and objects. images. A source told The Information that the technology could be previewed at the company’s May 13 event, partly in an effort to put OpenAI ahead of Google’s AI announcements expected later in the year. the week.
Reuters even believed that OpenAI planned to announce a competitor to Google in Internet search today! Bloomberg and The Information previously reported that OpenAI was working on such a search product to compete with Google and AI search startup Perplexity. However, according to Sam Altman’s message on the social network X, the supposed search engine would not be presented today…
Microsoft will invest 4 billion euros in the development of cloud and AI infrastructure, in AI training and the acceleration of French startups, with the ambition to train one million people and support 2,500 French startups by 2027! For the Redmond IT giant, this is the most important investment in France to date. It aims to accelerate AI adoption, skills and innovation. “This major investment reflects our commitment to supporting, over the long term, digital innovation and economic growth in France. We will build an excellent cloud and AI infrastructure, support the rise in AI skills of the French, and accelerate the development of French startups who use our technology with complete confidence”, launched Brad Smith, Vice Chairman of the Board of Directors and President of Microsoft.
Thus, as part of the “Choose France” summit today, Microsoft, present in France for 41 years, announced its largest investment to date in the country. This investment program aims to accelerate the adoption of artificial intelligence and cloud technologies, to increase the country’s competitiveness by encouraging the development of the French digital ecosystem and to create long-term opportunities for the French economy and job market. “With these investments, Microsoft directly contributes to France’s national strategy for AI and aligns with the recent recommendations of the French Commission for Artificial Intelligence, in order to position France as a leader in its development and use”, insists Microsoft. The announcement of this investment in France is part of the series of Principles of Access to AI that the software group recently defined. They aim to encourage innovation and create the conditions for healthy competition within the AI economy. These principles commit Microsoft, “whose role and responsibility, as a leader in AI, are growing”.
Amazon has also announced an investment plan in France of more than 1.2 billion euros, according to the Elysée. The American online commerce giant could thus create more than 3,000 permanent positions. These are investments in logistics and cloud infrastructure (AWS).
Intel remains under scrutiny on Wall Street, while according to the well-informed Wall Street Journal, the group is in advanced discussions with Apollo Global Management with a view to building an $11 billion chip factory in Ireland.
Arm will launch AI chips with mass production expected by fall 2025, according to Japanese business daily Nikkei. Apparently citing sources, the Nikkei reports that the British chip designer, recently introduced to Wall Street, would create an AI chip division and target a prototype by next spring. Mass production would be carried out by contract manufacturers, likely including TSMC with whom SoftBank is already in talks to secure capacity. The Nikkei reports that Arm would be responsible for initial development costs, but that SoftBank would contribute an unspecified portion of what is expected to amount to hundreds of billions of yen. Once mass production begins, the AI chip business could be split under SoftBank’s control.
GameStop, which has already just regained more than 70% in one month on Wall Street for no fundamental reason, soared by more than an additional 30% before the market. The Reuters agency attributes today’s expected increase to the first message in three years on the social network X, formerly Twitter, from Keith Gill, better known to small American shareholders as “Roaring Kitty”. His online messages and videos helped trigger a frenzy of transactions on the video game distributor’s stock in 2021. Enough to visibly awaken those nostalgic for the euphoric period of ‘meme stocks’.
Tencent Music Entertainment, the Chinese leader in online music and audio entertainment, announced revenues totaling approximately $937 million (consensus $918 million) for its first quarter ended March 2024, down with the decline in service revenues. social entertainment. The group nevertheless claims strong growth in revenues from online music services. Music subscription revenues increased by 39%, reaching the equivalent of $501 million, with the number of paying subscribers increasing by more than 20% to 113.5 million. Quarterly net profit increased by more than 27%, representing the equivalent of $212 million. Adjusted net income was $251 million. ADS-adjusted earnings were about 15 cents, compared to the consensus estimate of 14 cents.
You’re here. According to the Wall Street Journal, the Biden administration could announce a near quadrupling of customs tariffs applying to Chinese electric vehicles. The US administration is reportedly preparing for such an announcement this week. Increased customs taxes would also be on the agenda for other products from China. “The Biden administration is preparing to increase tariffs on clean energy products from China in the coming days, with the tax on Chinese electric vehicles expected to nearly quadruple,” according to people familiar with the matter cited by the WSJ.
