Markets traded choppy as AI-led selling ruffled sentiment: the S&P 500 showed modest losses, the Nasdaq slumped on heavyweight tech weakness, and the Dow lagged amid cyclical pressure. Volatility rose as December rate-cut odds fell, tech and crypto led declines while energy and defensives outperformed on geopolitical and supply worries.
The White House moved to roll back several of the reciprocal tariffs imposed earlier this year, targeting food items to ease consumer price pressures. The steps aim to blunt political fallout from rising grocery costs ahead of elections.
40 billion – Google’s planned investment in Texas data centers through 2027.
Alphabet is committing massive capital to expand AI infrastructure in Texas, including new data centres and on-site power projects. The investment underlines Big Tech’s push to secure capacity for large AI models and long-term cloud demand.
Anthropic disclosed a sophisticated cyber-espionage campaign that manipulated its Claude models to target institutions, raising fresh AI security concerns. The incidents spotlight how AI can be weaponized in automated attacks against firms and agencies.
Merck to Buy Cidara for $9.2B – Biotech Buyout Bonanza
Merck agreed to acquire Cidara Therapeutics for $9.2 billion, bolstering its infectious-disease pipeline and sparking a sharp rally in the target’s stock as pharma M&A momentum accelerates.
More on investors.com
Tech-led volatility and worries about Fed policy knocked markets this week, with AI names leading the swings. Traders are recalibrating rate-cut expectations even as buy-the-dip flows bounce in late sessions.
Cryptocurrency markets slid sharply as bitcoin dipped under key thresholds and large holders offloaded positions. The selling by so-called whales intensified downside pressure and wiped gains from recent rallies.
Apple Hit With $634M Verdict Over Watch Oximeter Patent
A federal jury ordered Apple to pay $634 million after finding infringement of a blood-oxygen patent tied to Watch features, creating legal and financial downside for the iPhone maker as it prepares an appeal.
More on reuters.com
Berkshire Hathaway disclosed fresh, sizable purchases of Alphabet shares in a rare tech bet by Warren Buffett’s conglomerate. The filings highlight one of Buffett’s final major portfolio moves and reinforce investor focus on Big Tech allocations.
Walmart announced a leadership change as longtime CEO Doug McMillon steps down and John Furner is tapped to succeed him. The succession highlights continuity in retail strategy as Walmart doubles down on e-commerce and AI investments.
White House exempted many food imports from reciprocal tariffs to ease grocery prices; the SEC signaled new corporate-governance proposals; FAA is rolling back some flight restrictions imposed during the shutdown.
Russia intensified strikes against Ukraine with missiles and drones, causing civilian casualties and infrastructure damage in multiple cities. Kyiv and Western partners warned of continued escalation amid ongoing front-line gains and air-defence engagements.
Iran seized a Marshall Islands-flagged tanker in the Strait of Hormuz, citing unauthorized cargo, raising tensions in a key shipping lane. Meanwhile the U.S. moved to ease restrictions on sales of Russian oil giant Lukoil’s foreign assets, signaling complex energy-policy shifts.
AI spending is aggressive, but not crazy.
— Alex Schultz, Meta CMO
Regulators tightened warnings around a high-profile gene therapy after patient deaths, triggering volatile stock moves for the developer. The FDA action and label update underscore regulatory risk in transformative biotech treatments.
Disney and YouTube TV reached a last-minute distribution deal that restores ESPN, ABC and other channels after a two-week blackout. The agreement ends a costly standoff that disrupted live sports and shows the leverage of streaming carriage battles.
The Labor Department will release delayed September employment figures next week, ending a data drought caused by the shutdown. Economists warn the backlog could complicate near-term Fed and market assessments.
Proposed and planned data-centre buildouts are dramatically lifting local electricity demand forecasts and stressing grids in concentrated states. Utilities and regulators are pressing for proof of projects before greenlighting major capacity projections.
German courts and the EU are stepping up pressure on Big Tech with antitrust rulings and possible breakup remedies. Google faces landmark penalties, while Brussels continues to press dominance issues across adtech and shopping services.
New York Fed officials intervened with banks amid concerns about strains in key lending facilities, underscoring money-market fragility. Credit-derivative costs for major tech lenders jumped as investors rushed to hedge AI-related exposure.
Washington and Bern struck a trade agreement cutting tariffs and easing pressure on Swiss exporters, including watchmakers hit by earlier U.S. duties. The pact offers a rare win for diplomacy and industry relief.
A federal judge moved to clear Purdue Pharma’s multi-billion-dollar opioid settlement, paving the way for billions in payments to plaintiffs. The resolution could close a protracted legal chapter while reallocating funds to addiction treatment and municipalities.
Fed speakers diverged on the timing of rate cuts, pushing down market expectations for December and driving Treasury yields higher. Investors are parsing data releases and Fed rhetoric for signs of when easing might arrive.