Meta’s (NASDAQ: META) new Muse AI agent has pushed the NASDAQ Composite to fresh record highs, igniting a wave of investor enthusiasm across the technology sector.
Apple (NASDAQ: AAPL) shares hit a record high above $345 under new CEO John Turnus, driven by strong early iPhone 18 sales and a $100 price increase on the flagship device.
Chip giant AMD has become the 13th U.S. company to reach a $1 trillion valuation, while Nvidia (NASDAQ: NVDA) sits atop the list with a staggering $5.5 trillion market cap.
SpaceX, Anthropic, and OpenAI are now collectively worth more than every U.S. tech IPO from the past 45 years combined, a figure that has stunned even seasoned market observers.
Bridgewater founder Ray Dalio issued a fresh warning, stating that AI will simultaneously be “one of the biggest productivity enhancing, changing the world forces and also a bubble that is going to have devastating effects on many people as it works itself through this.”
IBM (NYSE: IBM) Vice Chair and former U.S. National Economic Council Director Gary Cohn expressed measured surprise at the pace of the market’s AI-driven enthusiasm, noting that productivity gains from agents were broadly anticipated.
Cohn argued that AI will ultimately be a net positive for employment, pointing to current near-full employment conditions and the enormous labor demand created by data center construction and infrastructure buildout.
On regulation, Cohn was emphatic that a patchwork of 50 different state-level AI rules would be “a disaster,” stressing that the U.S. must keep its focus on winning a global AI race against China.
Cohn stated that the U.S. should not regulate AI itself but rather its outcomes, saying existing product regulators across finance, pharmaceuticals, and aviation are already equipped to govern AI-driven products in their respective sectors.
Asked whether Nvidia should be permitted to sell its most powerful chips to China, Cohn said he would prefer to maintain that competitive advantage, adding “if we have the best chips in the world, we will figure out everything before they do.”
Cohn identified energy prices as the single biggest issue facing the U.S. economy today, warning that diesel above $6 a gallon feeds through into food prices and directly strips consumers of disposable income.
He expressed cautious optimism that lower crude oil prices could filter through to consumers and sustain spending, potentially delivering a strong end to the year if energy costs ease.
Royal Caribbean (NYSE: RCL) drew skepticism from analysts and markets alike after announcing a $3 billion deal for a 50% stake in Sandals, with analysts at Stifel asking “what the heck are they thinking” as cruise stocks face pressure from rising fuel costs and slowing revenue growth.
Netflix faces a mounting challenge from YouTube, according to an HSBC note arguing that YouTube is capturing an increasing share of viewing hours, which could force Netflix to raise original content spending and pressure its free cash flow and margins.
McDonald’s came under scrutiny, with the stock down 18% year-to-date against an S&P 500 gain of 13%, and traffic trends continuing to deteriorate despite menu expansions into new beverages and food items.
