Oracle down, AI boom fading?
Important news for the day
Oracle & OpenAI
The AI related market seems to get some dents in their current momentum. The previously hyped database company Oracle has gotten a beating over their high bets on their investments into their huge AI bet. Contracts in high volume in regards to the hosting for OpenAI and the corresponding huge borrowing in volume of hundreds of billion of Dollars in the next years might turn into a burden if the business does not perform as currently expected. Share prices have lost about 30% in the past month but are still up since the beginning of the year.
Market talk
Some correction in equities can be observed as the S&P 500 might start to fade further. Since the market is not being able to break beyond the recent highs a potential break of the important uptrend at around the 6.700 points price zone might now follow. Also, the break of the 50- moving average might unleash further selling pressure if the negative momentum remains present. After having tested the USD 54.40 price zone also Silver prices start turning lower again before the weekend. The current double- top formation as seen on the daily chart might hence offer more downside momentum currently.
Tendencies in the markets
Equities correcting, USD mixed, crypto weaker, oil weaker, Silver correcting, Gold weaker.
Author
Frank Walbaum
FX Strategies.Asia
Frank has been working in the TV business for several years. Acquiring his skills in Germany’s biggest broadcasting station, he then chose to work and live in Asia, which was in 2007.
