[Market Summary]
The three major New York indices closed higher, overcoming the "Warsh Shock" following the nomination of the next Fed Chair. The strongest improvement in manufacturing data since 2022 fueled economic optimism and drove the indices upward.
Dow Jones: 49,407.66 (+1.05%)
S&P 500: 6,976.44 (+0.54%)
Nasdaq: 23,592.11 (+0.56%)
Manufacturing Recovery: The ISM Manufacturing PMI for January hit 52.6, exceeding both the previous month (47.9) and market expectations. This is interpreted as a definitive recovery signal for the manufacturing sector after a long slump.
Yields & Commodities: Due to fears that economic strength might limit further Fed rate cuts, the 10-year Treasury yield rose to 4.27% and the dollar strengthened. Gold, silver, and crypto markets stabilized. Bitcoin traded around $78,700 (+2.35%). International oil prices fell nearly 5% as geopolitical tensions eased following President Trump’s mentions of dialogue with Iran.
[Featured Stocks & AI Strategy]
■ Nvidia (NVDA)
Deal Uncertainty: Uncertainty has grown regarding the $100 billion partnership with OpenAI. CEO Jensen Huang clarified the deal is non-binding and not yet finalized, noting OpenAI's "lack of discipline" in its strategy.
Investment Scale: Huang emphasized that while Nvidia will participate, the investment will not exceed $100 billion. Analysts expressed concern over the public discord between the investor and the startup.
■ Alphabet (GOOGL)
Waymo's Valuation: Waymo is reportedly seeking $16 billion in funding at a $110 billion valuation. Analysts suggest this highlights either an undervaluation of Alphabet's assets or an overvaluation of Tesla’s (TSLA) Robotaxi potential.
■ Apple (AAPL)
India Tax Exemption: The Indian government announced a 5-year tax exemption for foreign firms providing equipment to contractors in customs-bonded areas. This follows extensive lobbying by Apple and is expected to boost their manufacturing investment in India.
■ Microsoft (MSFT)
Cloud Slowdown: Azure growth slowed to 39% (vs 40% prev), missing the 39.4% estimate.
Capex Shock: Quarterly capital expenditure surged 66% to $37.5 billion, raising concerns over the ROI of AI investments.
■ Tesla (TSLA)
Ecosystem Expansion: Rumors of a merger between SpaceX and xAI before the SpaceX IPO boosted expectations for a "Musk AI Ecosystem".
Sales Struggle: In contrast to a 30% rise in general EU EV registrations, Tesla's European sales fell 27% in 2025.
■ Oracle (ORCL)
Cash Call: Oracle plans to raise $45B–$50B in 2026 to meet cloud demand from clients like Meta and xAI.
Layoffs: Reports suggest Oracle is weighing 20,000 to 30,000 job cuts to generate $8B–$10B in additional FCF.
[Notable Analyst Opinions & Sector Updates]
■ Gold Outlook (JPMorgan): Despite the recent dip, JPMorgan expects central bank buying (800+ tons in 2026) to drive gold to $6,300/oz by year-end.
■ Palantir (PLTR): William Blair upgraded Palantir to Outperform ($200 PT), calling the recent software sell-off a buying opportunity for an AI supply chain leader.
■ Super Micro Computer (SMCI): Goldman Sachs maintained a Sell rating, slashing its target to $26 due to shrinking AI server margins (projected 7.5% in 2026).
■ SoFi (SOFI): Mizuho re-iterated an Outperform rating ($38 PT), calling the dip from the "Chime" exit a buying opportunity.
■ Rare Earths: Trump administration announced "Project Bolt," a $12 billion plan to stockpile critical minerals (MP, USAR, CRML).
[After-Hours Featured Stocks]
■ Palantir (PLTR)
Surge: Jumped 7% after reporting revenue of $1.407 billion (+70% YoY) and strong guidance.
■ Apple (AAPL)
Q1 Beat: Shares rose 1.83% after hours as Q1 revenue ($143.8B) and EPS ($2.84) beat estimates.
■ SanDisk (SNDK)
Explosive Growth: Rose 14% following a massive beat on revenue ($3.03B) and bullish Q1 guidance.
■ Terawulf (WULF)
Expansion: Surged 9% after acquiring two infrastructure sites, adding 1.5 GW of capacity.
