Inflation anxiety drags on AI stocks as markets point to a mixed open

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• SpaceX Faces Earnings Test Today: RBC Flags Over 50% Upside As Tesla Merger Buzz Builds, S&P Flags AI Financing Risks

  Shares of SpaceX (SPCX) slipped 0.4% overnight ahead of its third-quarter results, due after the close on Tuesday, as S&P Global warned of unseen AI-related liabilities. Koyfin expects revenue of $13 billion, EBITDA of $6.62 billion, EBIT of $2.35 billion and adjusted EPS of $0.13. RBC kept an 'Outperform' rating and a $225 price target, implying about 53% upside from the $147.96 level reached on Monday, and said investor interest in a potential Tesla merger is growing. S&P said interconnected financing can obscure obligations and expects Amazon, Microsoft, Alphabet, Oracle, Meta and SpaceX to spend over $7 trillion on AI-related capital expenditure from 2025 to 2030. Google's deal to buy SpaceX computing capacity at $920 million a month can be terminated by either party on 90 days' notice after Dec. 31.

  Yahoo Finance·20/10, 07:26▲ TSLA• NVDASpaceXTSLAmergers and acquisitions
• Asian shares mostly decline after AI stocks lead a rebound on Wall Streetstardem.com·20/10, 07:15▲ QQQ▲ NVDA• VNINDEXAsiaWall Streetartificial intelligence
• An AI bust could come from places investors arent watching , an economist says

  Concerns about an AI bubble are growing, and TS Lombard's Dario Perkins warns that investors may be overlooking other risks. Debt among smaller cloud providers, model developers and suppliers could reach $2 trillion by the end of 2027. Perkins does not see this as a systemic risk, but warns that earnings disappointments and canceled orders could ripple through the ecosystem, and that a chip glut could follow over-ordering. Much of the industry's revenue growth still comes from spending within the AI ecosystem rather than from businesses and consumers outside it. He also flags political backlash, noting that ordinary people dislike AI and nearby datacenters, and warns that one high-profile accident could turn AI toxic.

  aol.com·20/10, 07:15▼ NVDA▼ QQQAI investmentartificial intelligenceNVDA
• CNBC Daily Open: Tech rebounds in the U.S., but Asia isn’t buying it yet

  U.S. tech stocks rebounded as the Nasdaq Composite rose more than 1% on Monday, with Nvidia up 1.4% and Tesla up 3.8%. In Asia, however, tech shares fell on Tuesday, with South Korea's Kospi down over 4% and Japan's Nikkei 225 down 1.6%. Nvidia also unveiled plans to back four German AI startups as part of its nearly $10 billion European investment commitment. Jenny Lee of Granite Asia said Asian companies are reaching IPOs much sooner, often at four to five years old, while Jio Platforms' Indian IPO saw its anchor investor quota oversubscribed more than 30 times, aiming to raise up to 302 billion rupees ($3.2 billion). In Singapore, several agricultural stocks fell after Senior Minister K Shanmugam warned that companies would not escape responsibility for possible roles in the haze, noting seven firms had been questioned by the Singapore Exchange.

  CNBC·20/10, 07:14▲ QQQ▲ SPY▲ NVDA• VNINDEXtech stocksAsiaNVDA
• AI stocks lead a rebound on Wall Street as European markets drop following protestsdecaturdaily.com·20/10, 05:45▲ NVDA▲ QQQ▲ SPY▼ EUR/USDNVDAartificial intelligenceWall Street
• Seoul stocks extend losses amid AI concerns

  Seoul shares fell sharply late Tuesday morning as a sell-off in major chip stocks, driven by concerns over AI-related investments, deepened losses. The KOSPI dropped 136.06 points, or 2.36%, to 5,631.95 at 11:20 a.m., after touching an intraday low of 5,493.24. Samsung Electronics fell 1.03% and SK hynix dropped 2.74%, while Samsung Electro-Mechanics rose 2.48%. The won traded at 1,327.6 per U.S. dollar. In the U.S., tech shares rebounded from their steepest weekly drop since June, with the Nasdaq Composite gaining 1.11%, but investors remain cautious ahead of earnings from Tesla and Meta Platforms and the Nov. 3 U.S. midterm elections.

  prokerala.com·20/10, 05:00▼ NVDASouth Koreasemiconductorsartificial intelligence

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• Meta Earnings: What To Look For From META

  Meta Platforms (NASDAQ:META) will report earnings this Wednesday after the market closes. Last quarter, revenue reached $60.8 billion, up 28% year on year and above analysts' expectations, though revenue guidance for next quarter slightly missed forecasts; daily active users hit 3.6 billion, up 3.4%. The market expects revenue growth of 23.6% this quarter, slowing from 26.2% a year earlier, and analysts have generally reconfirmed their estimates over the past 30 days. Over the last month, consumer internet stocks have gained 1.3% on average, while Meta is down 4.8%.

  Yahoo Finance·20/10, 07:17• METAMETAearningstech stocks
• Yen jumps after JGB auction draws big demand , euro finds relief

  The yen rose 0.2% to 158.15 per dollar in Asian trading after a 20-year Japanese government bond auction drew bids of 5.84 times the amount sold, well above the 4.01 times at the previous auction, and the yield fell 6 basis points to 3.71%. A State Street strategist said the record demand suggests sidelined cash is returning and that JGBs are becoming a relative haven from political and fiscal volatility in Europe, particularly France. Anti-government protests in France prompted curfews in several cities, while Italy said it would send 500 troops after two days of unrest, and the euro rallied 0.2% to $1.1234. Elsewhere, bitcoin slipped 0.3% to $81,674.25 and ether edged down 0.2% to $2,393.21.

  aol.com·20/10, 07:15▼ USD/JPY▼ DXY▲ EUR/USDbondsexchange ratesJapan
• Unemployment rate dips to 4 . 7 % - but vacancies hit five - year low

  Vacancies fell by 21,000 to 691,000 in the three months to September, the biggest drop since the three months to March and the lowest since July to September 2014 outside the pandemic, while unemployment dipped in the three months to August. Payroll numbers were down 66,000 over the year to September. The ONS said the fall was mainly among smaller firms struggling with higher labour costs, following rises in employer national insurance, the minimum wage and workers' rights. A CBI survey found labour costs and regulations were making it harder to create jobs, and firms urged the Chancellor not to add to their burden in the October 28 Budget. ICAEW's Suren Thiru said the labour market is 'running on idle' and unemployment could climb above 5 per cent, while Shadow Chancellor Andrew Griffith blamed Labour's 'Jobs Tax' and red tape.

  dailymail.com·20/10, 07:15• GBP/USD
• NiSource (NI) Stock Looks Overvalued Against Its Dividend Outlook

  NiSource has nearly doubled shareholders' money over the past five years, delivering a 97.6% total return, which raises the question of whether dividends can justify the current share price. The article highlights a new 20-year energy agreement with Microsoft, including customer-funded grid upgrades and long-term electric service for data centers, which may affect future capital needs and cash-flow visibility. Using a Dividend Discount Model with inputs of about $1.35 dividend per share, roughly 9.07% return on equity, a payout ratio slightly above 61%, and implied dividend growth of about 3.5%, the estimated intrinsic value sits meaningfully below the current share price of $41.95. The model still does not bridge that gap, suggesting income investors are paying a premium for a relatively steady payout with modest assumed growth.

  Yahoo Finance·20/10, 07:10NIdividendselectricity
• Frank Elderson: Interview with Die Presse

  In an interview with Die Presse, ECB Executive Board member and Supervisory Board Vice-Chair Frank Elderson argues that the 2008 financial crisis cost far more than bank regulation, and that post-crisis reforms made European banks better capitalised, more liquid and more profitable on average. He says simplification is not deregulation and notes the ECB has already cut reporting obligations and sped up processes. He identifies fragmentation as Europe's biggest competitiveness obstacle, since cross-border banking remains limited, and calls for completing the Single Market, the savings and investments union and the banking union, including a European deposit insurance scheme. He argues simplification and integration must advance together in the European Commission's banking reform package, and that Basel standards keep competition based on efficiency rather than the weakest rules.

  ECB·20/10, 07:00• EUR/USDECBbanksregulation
• Prediction: These 3 Stocks Will 10X in the Next 20 Years

  The article argues that Life Time Group (LTH), First Watch Restaurant Group (FWRG) and Freshpet (FRPT) could each rise tenfold over the next 20 years, roughly 12% a year. Life Time, which runs 195 clubs, is building bigger facilities and raised revenue per membership 11.8% in the second quarter while members grew just 1.2%, though its roughly $1.5 billion in debt and sale-leaseback deals could strain it in a recession. First Watch, with 665 restaurants in 33 states, serves breakfast, brunch and lunch and has bought back 64 restaurants from franchisees in eight deals since May 2023. Freshpet places branded fridges in stores, now nearly 40,000 of them, and according to its investor presentation, its production lines could grow from 16 to at least 24.

  Yahoo Finance·20/10, 06:50LTHFWRGFRPT