ADDX GO Market Morning Wrap - 25th Feb
Go Wire
February 25, 2025
GoGPT Summarizes Articles
Stock Market
Global equities saw mixed performance on Monday. The Nasdaq dropped 1.21% to 19,286.93, while the S&P 500 declined 0.50% to 5,983.25. The Russell 2000 fell 0.78% to 2,178.27, whereas the Dow Jones Industrial Average inched up 0.076% to 43,461.21.
In Asia, Hong Kong’s Hang Seng Index lost 0.58% to 23,341.61. India’s Sensex and NIFTY 50 declined 1.14% and 1.07%, respectively. Other regional indices, including KLCI, IDX Composite, and STI, also moved lower.
Key Events
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Rumors that $MSFT Microsoft canceled leases for "hundreds of megawatts" of U.S. data center capacity prompted a response from the company on Monday. A TD Cowen report from last Friday indicated Microsoft had stopped converting preliminary agreements into formal leases, fueling speculation about its computing needs. The company clarified that its capital expenditure for the fiscal year remains unchanged, though it may tweak strategic priorities or infrastructure in certain areas. Reports also suggest OpenAI is shifting operations from Microsoft to Oracle, hinting at potential overcapacity. This unsettled Wall Street, reviving concerns about whether U.S. computing power investments have peaked. Consequently, NVIDIA dropped over 3% on Monday, while Constellation Energy, after an 8% decline last Friday, fell another 6%.
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DeepSeek launched its “Open Source Week” on February 24, 2025, unveiling a new project daily for five days. The first, FlashMLA, is an AI acceleration tool tailored for Hopper GPUs, optimizing resource allocation for AI models handling variable-length data, like chatbots or text generators.
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$AAPL Apple disclosed a $500 billion investment plan on Monday, including a new AI server factory in Texas. Partnering with Foxconn, Apple will build a 250,000-square-foot facility in Houston for Apple Intelligence servers, set to begin operations in 2026 as part of a four-year investment strategy.
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President Trump confirmed Monday that tariffs on Canada and Mexico, slated for next month, are proceeding as planned. Despite an official noting the decision isn’t final, Trump, speaking alongside French President Macron, insisted the tariffs would roll out on March 4 as scheduled.
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Berkshire Hathaway $BRK.A hit a record high, up over 4%, after Q4 operating profit soared 71%, exceeding expectations, driven by strong insurance gains.
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Morgan Stanley highlighted China’s accelerating humanoid robot sector, with manufacturers targeting hundreds to thousands of units in 2025. Through tech upgrades and domestic production, costs could drop significantly, with Leju aiming for $20,000 per unit by year-end.
Forex
The U.S. Dollar Index (DXY) edged down 0.07% to 106.57, briefly touching 106.12, its lowest since December 10. The index has now retreated over 3% from its two-year high in January.
Spot gold surged past $2,955 per ounce, setting a new all-time high.
Key Events
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Morgan Stanley predicted a weaker U.S. dollar in 2025, citing factors from Trump’s first term that led to its 2017 decline. Despite a four-month rally since October, trade disputes and European instability could push the dollar lower in his second term, analysts warned.
Cryptocurrency
Meanwhile, Bitcoin slipped 1.89% to $93,980.70, marking its lowest 4 p.m. ET level since January 13, 2025.
Key Events
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MicroStrategy bought 20,356 Bitcoins for $1.99 billion, raising its total to 499,096, worth $47.8 billion. Funded by a $2 billion notes offering, the firm’s stock fell 5.7% to $282.76, yet is up 250% yearly. Michael Saylor urged the U.S. to secure 20% of Bitcoin as a reserve. Trump’s new crypto working group and SEC’s Hester Peirce seek regulatory input.
Market Events and Most Anticipated Earnings Releases
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