In the latest updates from CNBC’s Morning Squawk newsletter, the focus remains firmly on artificial intelligence and its potential impacts across various sectors. With S&P 500 futures showing little change, the major indexes are on a winning streak, following a day of positive trading.
Highlighted below are five essential points for investors as they start the day:
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Tech Titans Shine
Nvidia has exceeded Wall Street expectations by reporting an impressive 75% growth in its core data center revenue, contributing to an overall 73% rise in sales. The company’s data center segment now accounts for a staggering 91% of its total sales, surpassing analyst predictions. Following the earnings call, CEO Jensen Huang commented on the industry’s miscalculations regarding AI’s threat to software firms, suggesting that concerns may have been overblown. Despite this upbeat report, Nvidia’s stock saw only a modest increase in after-hours trading. However, the announcement has catalyzed a rally in Asian markets, pushing Japan’s Nikkei 225 index above 59,000 for the first time ever. In contrast, Salesforce’s shares dipped nearly 4% after failing to meet Wall Street’s revenue forecasts. -
White House AI Collaboration
Next week, executives from major technology companies will gather at the White House to formalize a commitment to powering their AI data centers through renewable energy sources. Notable companies like Amazon, Meta, and OpenAI are expected to participate. Additionally, Netflix CEO Ted Sarandos is set to meet with officials today to discuss the streaming service’s acquisition of Warner Bros. Discovery, a visit that follows President Trump’s public criticism of Netflix board member Susan Rice. -
Resignations Linked to Epstein
Former Treasury Secretary Larry Summers announced his resignation from Harvard amid ongoing scrutiny related to his interactions with Jeffrey Epstein. Summers is not alone in his decision; Nobel Prize-winning Dr. Richard Axel has also stepped down from a leadership role at Columbia University, citing regret over his past association with Epstein. Bill Gates recently addressed his connections to Epstein in a town hall meeting, affirming that his interactions were not illicit but acknowledging personal relationships he had outside his marriage. -
Samsung’s New Smartphone Lineup
Samsung has debuted its newest flagship smartphones, which are seeing price hikes compared to previous models, particularly the S26 and S26+. The S26 is noteworthy as it will feature Google’s Gemini technology, allowing autonomous operations with third-party apps, such as ride-hailing services, hinting at exciting developments ahead for competitors like Apple. -
Food Price Dynamics
In a speech, President Trump claimed that protein prices are on the decline; however, recent data reveals a more nuanced picture. While egg prices have indeed decreased due to a reduction in avian flu impacts, prices for boneless chicken breasts and ground beef have risen since Trump took office again last year. Economists indicate that these fluctuations are driven more by industry factors than by federal policy.
The report concludes with a note on Appaloosa Management founder David Tepper, who has publicly criticized Whirlpool’s leadership for its impact on shareholder value, indicating growing tensions in corporate management strategies.
This newsletter exemplifies the interconnectedness of financial markets and policy decisions, which continue to shape current economic narratives.
