Most Important News

1. Fed's Williams Signals Imminent Balance Sheet Expansion;
2. Ray Dalio Warns Fed Rate Cuts Fuel Bubble, US Stocks Face “Final Feast”;
3. Tesla's Musk Hints at Potential Collaboration with Intel Corporation;
4. Tesla Shareholders Approve Musk's US$1 Trillion Compensation Plan;

Stock futures moved lower Friday after a pullback in the market’s biggest technology names led to a losing session for US equities — and put the major averages on pace for a losing week.

As of 04:48 PM Riyadh time, Futures tied to the Dow Jones Industrial Average shed 114 points, or 0.24%. S&P 500 futures and Nasdaq 100 futures fell 0.38% and 0.56%, respectively.

As of 04:48 PM Riyadh Time, top pre-market movements are as follows:

Gainers

Fed's Williams Signals Imminent Balance Sheet Expansion

New York Fed President Williams indicated the Federal Reserve may soon resume bond purchases to enhance market liquidity. Speaking at the ECB Monetary Markets Conference in Frankfurt, he noted the Fed's strategy involves assessing when reserves drop from "ample" to "just ample." With recent repo market pressures, Williams suggested this transition point is approaching, following the Fed's decision to halt bond reduction starting in December.

OpenAI Sparks Tech Sell-Off Amid Financing Concerns

Investor enthusiasm for AI in the US stock market is waning, leading to a sharp decline in major tech stocks. Concerns focus on funding OpenAI's ambitious plans, which have significantly boosted market value. Despite pledges to invest over US$1.4 trillion in AI infrastructure, OpenAI remains unprofitable. CFO Sarah Friar's comments about potential US government backing fueled speculation, though later clarified as not a formal request, leaving investors uneasy.

JPMorgan Recommends Buying US Stocks Amid AI Bubble Concerns

As tech stock valuations trigger significant market declines, JPMorgan Chase & Co.(JPM.US) advises buying the dip, forecasting the S&P 500 to surpass 7,000 points soon. The bank's optimism is driven by a robust US economy and strong corporate earnings, with adverse factors like tariffs and government shutdowns expected to diminish.

US Jobless Claims May Be Nearing 230,000 Amid Shutdown

Analysis of state-level data during the federal government shutdown indicates that initial jobless claims in the US may have quietly risen to around 228,000 for the week ending November 1, up from a revised 219,000 the prior week. While the Department of Labor has not issued weekly reports since September 25, most state data remains accessible and has been seasonally adjusted by external analysts.

Ray Dalio Warns Fed Rate Cuts Fuel Bubble, US Stocks Face “Final Feast”

Bridgewater founder Ray Dalio cautions that the US economy may be in the late stage of a "long debt cycle," with the Federal Reserve's easing policies exacerbating asset bubbles. Dalio predicts the eventual tightening of monetary policy will trigger the bubble's collapse, marking the end of what he calls the "last feast" for US equities.

Google Unveils Ironwood AI Chip to Rival Nvidia

Alphabet Inc (Alphabet Inc. Class C(GOOG.US) / Alphabet Inc. Class A(GOOGL.US) ) Google has launched a new AI-focused computing hardware, Ironwood, amid rising demand for advanced AI workloads. Read in detail>>

Berkshire Plans New Yen-Denominated Bond Issuance

Berkshire Hathaway Inc. Class A(BRK.A.US) / Berkshire Hathaway Inc. Class B(BRK.B.US)  is set to issue another round of yen-denominated bonds, marking its second such issuance in 2025. This move has sparked speculation that Warren Buffett's company might be preparing to increase its investments in Japanese trading firms.

Report: US May Block NVIDIA AI Chip Sales to China

Tech site The Information reports that the US government may prohibit NVIDIA Corporation(NVDA.US) from selling its latest downgraded AI chip, B30A, to China. Sources claim the company has provided samples to several Chinese clients. The chip, capable of training large language models when arranged in clusters, is at the center of speculation surrounding potential export restrictions.

Tesla's Musk Hints at Potential Collaboration with Intel Corporation

Shares of Intel Corporation(INTC.US) rose pre-market following comments by Tesla CEO Elon Musk. At a shareholder meeting, Musk mentioned the possibility of Tesla building a factory capable of producing up to one million AI chips per month. He suggested that Tesla might collaborate with Intel on this initiative.

SanDisk Corporation Exceeds Revenue Expectations, Supply Shortage May Last Until 2026

Shares of SanDisk Corporation(SNDK.US) surged over 11% pre-market as quarterly results surpassed forecasts. Non-GAAP revenue hit US$2.31 billion, up 21% sequentially and 23% annually. Net profit soared 331% sequentially to US$181 million, despite a 31% annual drop. NAND bit shipments rose 15%, boosting revenue and margins. The company anticipates continued supply shortages until 2026, with data centers becoming the largest NAND market.

Iris Energy Revenue Soars 355% in Q1, Profitability Achieved

Iris Energy Limited(IREN.US) shares initially rose over 5% pre-market before dropping nearly 4%. The company reported Q1 revenue of US$240.3 million, a 355% increase from US$52.8 million in the previous year, surpassing expectations of US$235.5 million. Net profit reached US$384.6 million, compared to a net loss of US$51.7 million a year earlier.

Google Plans AI Data Center on Australia's Christmas Island

Alphabet Inc. Class A(GOOGL.US) / Alphabet Inc. Class A(GOOGL.US) is set to establish a large AI data center on Christmas Island, Australia, following a cloud collaboration agreement with the Australian Defense Department earlier this year, according to Reuters. While details on the center's size, cost, and purpose remain confidential, local officials confirm discussions about leasing land near the airport and partnering with a local mining company for energy supply.

Tesla Shareholders Approve Musk's US$1 Trillion Compensation Plan

Tesla Motors, Inc.(TSLA.US) shareholders have approved Elon Musk's compensation package, potentially worth up to US$1 trillion, with over 75% support. To achieve this, the company must reach a market value of US$8.5 trillion and an adjusted EBITDA of US$400 billion. Key targets include 20 million vehicle deliveries, 10 million active FSD subscriptions, 1 million robots, and 1 million Robotaxis. Musk indicated FSD might gain full approval in China by early 2026.

Report Claims 10% of Meta's Revenue Comes from Fraudulent Ads

A media report on Thursday alleged that Meta Platforms(META.US) could generate 10% of its 2024 sales —roughly US$16 billion —from online ads promoting scams and banned goods. The report, citing an internal document, claimed these ads include fraudulent e-commerce, scam investment schemes, illegal online casinos, and prohibited medical product sales. Shares of $META declined slightly in pre-market trading following the news.

Block Shares Plunge Over 15% Pre-Market on Q3 Miss

Block(XYZ.US) shares dropped over 12% pre-market after Q3 results disappointed. Revenue rose 2% YoY to US$6.11 billion, missing the US$6.31 billion forecast, while EPS reached 54 cents, below the expected 67 cents. Bitcoin-related revenue fell 18% YoY to US$1.97 billion, accounting for nearly one-third of total revenue. The weak performance raised concerns among investors.

• Shares of Motorsport Games, Inc. Class A(MSGM.US)  surged nearly 120% pre-market after the company reported better-than-expected Q3 sales. 
•  Robinhood(HOOD.US) reported Q3 crypto revenue of US$268 million, marking a YoY surge of over 300%. Despite the significant growth, the figure fell short of market expectations
• Expedia Group(EXPE.US) surged over 14% after reporting robust Q3 earnings. Revenue rose 9% YoY to US$4.41 billion, exceeding the US$4.28 billion forecast. Adjusted EPS climbed 23% YoY to US$7.57, beating expectations of US$6.97. 
•  Affirm(AFRM.US) reported better-than-expected quarterly revenue, prompting Bank of America Securities to maintain a "buy" rating and raise the target price to US$98.