Three IPOs are worth more than… all IPOs in the last 45 years of tech
Source: @jason
US vs China AI (Scale vs Efficiency)
The US is spending roughly 7× more than China on AI infrastructure. China is finding ways to do more with less. Goldman Sachs estimates 2026 capex by major US cloud providers at $806bn, versus about $110bn in China. America’s compute advantage remains enormous. But China is competing on efficiency. DeepSeek V4.1 Flash reportedly uses 437× less KV cache per token than V1—a striking reduction in a key inference cost. That advantage is starting to show up in usage. Chinese models are gaining OpenRouter token share, including in coding and agent workflows, while lower-cost models put pressure on global inference prices. The next contest may be the most consequential: digital labour. AI agents are moving beyond coding toward finance, legal, accounting and other professional work. The US has the bigger infrastructure budget. China is testing how far better economics can take it. In AI, will scale win,or will efficiency narrow the gap? Source: Goldman Sachs, J.D.
Personal Savings Rate hits 2.6%, the 2nd lowest level in the last 65 years
Source: Barchart, CNBC
We are already approaching the end of September which means seasonality will soon turn as a tailwind for the market
This is the time of the year when investment banks are going to share their outlook and given the strength of the equity market don't expect these outlook to bve negative... see below the message from Goldman...
$META UNVEILS FIRST PETABIT-SCALE TRANSATLANTIC CABLE BETWEEN U.S. AND FRANCE
Meta announced Petal, a new roughly 7,000-km subsea cable designed to carry 1 petabit per second between the U.S. and France when it enters service in 2029. Meta says that is roughly 2x the capacity of today’s most advanced transoceanic cables and represents the largest single-generation capacity jump for a transoceanic system. Petal will use multi-core fiber technology across transoceanic distances, allowing more data to move through each fiber without a proportional increase in power or physical infrastructure. The system is being developed with NEC and Sumitomo Electric, while Orange will support the French landing. The project adds to Meta’s growing global network infrastructure as AI workloads drive sharply higher bandwidth requirements between data centers and regions. Source: Wall St Engine
We found the winner: META call volume highest on record
Source: zerohedge
Yesterday, AMD joins the $1 TRILLION club! Shares jump almost 10%, lifting its market cap to $1.005tn.
It’s the 7th chipmaker to cross the threshold, after Nvidia, TSMC, Broadcom, Micron, Samsung & SK Hynix. From just $90bn in October 2022: an elevenfold increase in under 4yrs. Source: HolgerZ, Bloomberg
Yesterday's rally was mainly about tech with Semis up +7.4% and Mag 7 up nearly 3% while the S&P 500 equally-weighted barely moved (+0.6%).
"The S&P500 equal weight index was only up 58 bps today – clearly a "size-led" rally with SPX > SPW by ~110 bps today, a top 5 daily spread over the last 5+ years" - Goldman Source: www.zerohedge.com, Bloomberg
