CNBC Daily View: Are markets overly creative?

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Marketplace Report Highest
The S&P 500 and Nasdaq Composite ended the consultation at all-time highs as investors waited for inflation data to evaluate the US financial coverage path. Apple continued its winning streak with a record 5th consecutive win and Nvidia also saw gains. On the other hand, Dow Jones Business Regional declined significantly. There was little change in the 10-year Treasury bond, as US oil prices fell as Tropical Storm Beryl made landfall.

elliot proxy combat ultimatum
Activist investor Elliott Controls has threatened a proxy fight with Southwest Airways unless its board comes to terms with barter management adjustments. Elliott wants to oust CEO Bob Jordan and government chairman Gary Kelly, citing poor performance and cultural problems. The investor claims the board’s latest moves, including adopting a poison pill and enlarging the board, are “intrusive moves”. Looking forward to future collaboration, Elliott planned to offer shareholders a role in management adjustments if the board remained unresponsive.

Corning’s AI Pop
Corning’s reserves rose 12% on Monday, its biggest jump since March 2020, the closest the corporate has hit its second-quarter forecast. Corning attributed the expansion to growing demand for its visual connectivity products, which support generative AI networks. “We have used new fiber, new cables, new connectors and new custom integrated optical solutions to dramatically reduce installation costs, overall time and space and carbon footprint,” Corning CEO Wendell Weeks said on CNBC’s “Squawk Box.” Invented.”

Germany’s Bitcoin sold
The German executive is boosting the value of Bitcoin by millions of dollars, contributing to the cryptocurrency’s new value. Police in the eastern German state of Saxony seized about 50,000 bitcoins in mid-January, worth about $2.2 billion at the time of the seizure. Despite selling $379 million worth of Bitcoin in recent weeks, Germany’s Federal Prison Police Administrative Center still holds about 32,488 Bitcoins – worth about $1.9 billion at today’s prices.

Boeing appeals to do business
When it comes to the horrific crash of the 737 Max, Boeing has been right to blame legal fraud. Pending good faith in court, Boeing will be declared a criminal but will be allowed to avoid trial, the petition said. The company will likely pay a fine of $243.6 million and facilitate a separate compliance track to monitor its operations for three years. This conviction may affect Boeing’s ability to sell the goods to the United States executive, even though it may demand a discount.

(Pro) Beryl’s Chance
Tropical Storm Beryl’s landfall in Texas has heightened concerns about the then-current hurricane season, prompting Wall Street analysts to examine the insurance stocks most likely to be at risk for hurricane damage.

As the S&P 500 continues to surge, reaching its 35th record top this year, Oppenheimer’s renowned investment strategist, John Stoltzfus, has raised his S&P 500 target to 5,900 – the second easiest target on Wall Side Road. Is. But, a way to give warning is being prepared. Goldman Sachs dealer Scott Rubner is on alert for a market correction. They believe that the market, along with them, is highly creative.

Rubner has not been left alone in his issues. An increasing number of traders are investing heavily in synthetic indices. Roger McNamee, managing director of Elevation Partners, warned that investors would want to find a “safe place to land” because the end use of AI would likely not justify the investment.

McNamee said, “I think Microsoft is investing about $10 billion a month in data centers and the industry is investing about $15 billion. We need about $600 million to justify this amount of investment. Requires revenue of Rs. ,

“We’re making assumptions about what this technology can do, which we haven’t proven, and we’re applying it in places where it might not work. If that’s true, then the hysteria is over.” “That’s going to happen, and there’s going to be huge impacts on all the biggest stocks, the S&P 500.”

Ed Yardeni, president of Yardeni Analysis, described the market as a “slow melt.” Traders It appears likely that the Fed will temporarily lower interest rates if the economy slows significantly or enters a recession, Yardeni said.

There may be additional clarity to the direction of the market at this time, with Fed Chair Jerome Powell set to testify before Congress on Tuesday and Wednesday, and a very important inflation data coming up on Thursday, which could potentially will significantly affect interest rate expectations.

Former Dallas Fed President Robert Kaplan expects the Fed to drop the charges in September.

“If I were sitting in my former seat, I would be getting ready to cut rates in September,” Kaplan said on CNBC’s “Squawk Box” on Monday. “I wouldn’t make any commitments between now and then, but I think they are in a position to cut rates in September, and they will consider it one meeting at a time.”

— CNBC’s Jeff Cox, Brian Evans, Piya Singh, Scott Schnipper, Leslie Joseph, Katie Bartlett, Ryan Brown, Fred Imbert, Spencer Kimball and Rohan Goswami contributed to this file.