Market Summary
Stocks traded mixed as investors weighed defense and energy gains against tech weakness; the S&P 500 flatlined while the Dow outperformed and the Nasdaq lagged on chip volatility. Volatility rose ahead of Friday’s jobs report and a Supreme Court tariff ruling, with defense, energy and select AI names driving the biggest sector moves.
A dramatic U.S. operation in Venezuela and follow-up maritime enforcement have reshaped the oil and geopolitical landscape. The stories connect the on-the-ground capture of Nicolás Maduro with U.S. seizures of tankers linked to Venezuelan crude.
Figure of the Day
200bn – Dollar amount President Trump has instructed representatives to buy in mortgage bonds to push down mortgage rates.
Congress moved to rein in the White House after the Venezuela operation, delivering a bipartisan rebuke. The Senate advanced measures that constrain future military actions without congressional approval.
The White House has pushed an aggressive housing-market intervention, ordering massive mortgage bond purchases to push down rates. The moves are prompting market, legal and policy scrutiny.
Bullish
Samsung Q4 profit triples as memory shortages supercharge chip prices
Samsung reported a huge profit jump driven by soaring memory prices, bolstering confidence in a chip‑led rebound across hardware stocks.
More on japantimes.co.jp
A fatal ICE shooting in Minneapolis has ignited nationwide protests and deep agency scrutiny. Officials inside the Department of Homeland Security are reportedly alarmed by the handling and public response.
Congressional drama over health care intensified as the House acted to revive expired ACA subsidies. The move sets up a Senate clash and potential political fallout for lawmakers on both sides.
Bearish
Saks Global struggles to secure financing — bankruptcy risk rises
Saks Global is having trouble lining up the financing needed to avoid a Chapter 11 filing, raising alarm among creditors and landlords.
More on cnbc.com
Markets and traders are bracing for a Supreme Court decision on the legality of sweeping Trump tariffs. Betting markets and investors are positioning for potential disruption to trade and refunds.
Friday’s jobs report is set to be the first major macro test of 2026, and traders warn it could reshape Fed expectations. Markets face multiple near-term catalysts including payrolls and tariff rulings.
Regulatory Impact
House passed a temporary extension of ACA subsidies, the Senate advanced a war‑powers resolution limiting further Venezuelan strikes, and the White House ordered a $200bn mortgage‑bond purchase. China opened reviews of major tech deals and regulators intensified scrutiny of AI acquisitions.
Nvidia’s H200 chips remain at the centre of global trade and financing frictions with China. The firm is asking for upfront payments even as Beijing signals approvals could come this quarter.
Big-ticket financing rounds and fundraises show investors are still backing AI heavyweights. The stories capture fresh cash into Anthropic and another giant round for xAI.
Quote
I am instructing my representatives to buy $200 billion in mortgage bonds.
— President Donald Trump
Chinese AI names continue to test public markets with high‑profile Hong Kong listings. MiniMax’s debut and pricing underline investor appetite for China AI plays.
Snowflake is buying Observe to shore up observability and reduce customer downtime as AI drives heavier workloads. The deal highlights cloud vendors’ push to own AI‑era data tooling.
Cybersecurity firms are consolidating to tackle identity and AI-agent threats. CrowdStrike’s purchase of SGNL positions it to manage authentication risks as agents proliferate.
Talks have resumed on a potential megamerger in mining that would reshape the sector and critical‑minerals supply. Markets reacted strongly to renewed discussions between Glencore and Rio Tinto.
Widespread protests in Iran have prompted an almost total internet blackout and strikes that threaten oil output. The shutdown and unrest amplify geopolitical risks for energy markets.
China’s consumer inflation has picked up while factory‑gate deflation lingers, complicating Beijing’s recovery hopes. Market responses across Asia reflect the mixed data.
General Motors is writing down billions as it retreats from earlier electric‑vehicle capacity bets. The charges underscore the industry’s painful re‑set on EV investment plans.
Diplomatic pushback is intensifying after the White House floated acquisition/expanded presence in Greenland. Denmark and Greenland envoys have met U.S. officials as European allies press for clarity.
Crypto markets remain volatile but show signs of stabilization as institutional flows and ETF activity normalize. Bitcoin held near key resistance while banks and analysts flagged the end of broad de‑risking.
