Intel (INTC, Financial) experienced a significant stock surge, climbing over 16%, marking its largest increase in 2023. This rise was fueled by speculation about potential restructuring involving TSMC and Broadcom. Reports indicated that TSMC might operate Intel's U.S. factories, while Broadcom held informal talks about acquiring Intel's chip design and marketing units. Intel's stock reached $26.25, achieving its highest single-day gain since late October 2023.
Meanwhile, the European Union denied proposing a reduction in car import tariffs to the U.S., aiming to avoid a trade conflict with President Donald Trump. The EU emphasized that any tariff cuts must be reciprocal and negotiated within a fair, rule-based framework.
In the AI sector, former OpenAI CTO Mira Murati launched a new startup, Thinking Machine Lab, alongside other ex-OpenAI executives. The company aims to develop AI models that enhance human-AI collaboration across various fields, expanding beyond current programming and mathematical capabilities.
The G7 is considering tightening the price cap on Russian oil to limit its revenue amid ongoing conflicts. A draft statement suggested resetting the cap from the current $60 per barrel to increase pressure on Russia to negotiate peace.
A Bank of America survey revealed that institutional investors' risk appetite has reached its highest level since 2010, with global equities becoming the most favored asset class. Fund managers have reduced cash holdings to a 13-year low, with 34% expecting stocks to outperform by 2025, driven by expectations of robust economic growth and potential U.S. interest rate cuts.
