Pre-market US stocks | XPENG-W falls more than 7%, leading the decline in Chinese concept stocks! Intel and AMD lead the rise in semiconductor stocks.

Top News in US Stocks

1. According to the website of the Ministry of Commerce, on January 19, 2024, Optimum Communications Services, Inc., based on Section 337 of the US Tariff Act of 1930, filed an application with the US International Trade Commission, accusing certain network equipment supporting Netconf that is exported to the US, imported into the US, or sold in the US of infringing its patents. The company requested the initiation of a Section 337 investigation and the issuance of a general exclusion order and a cease and desist order. Four Chinese companies are involved in the case.

2. According to statistics from authoritative market research institutions, in December 2023, XIAOMI-W achieved an activation volume of 3.4809 million units, with a market share of 16.5%, surpassing Apple and ranking first in the Chinese smartphone market. Apple and Honor achieved activation volumes of 3.3621 million units and 3.3521 million units respectively, ranking second and third (both with a market share of 15.9%).

3. In response to market rumors that EAST BUY may cooperate with ByteDance in overseas supply chain, informed sources responded, "The news is true."

4. Sony Group has officially notified media network company Zee Entertainment Enterprises Ltd. of its plan to terminate the merger between its Indian subsidiary and Zee, ending this dramatic acquisition deal that has lasted for two years. The Japanese entertainment giant Sony said on Monday that it has sent a termination letter to Zee because the conditions of the merger agreement have not been met.

Previously, the two parties were deadlocked over whether Zee's CEO, Punit Goenka, should lead the merged entity, as the latter is facing an investigation by India's capital market regulator.

1. DeepMind, an artificial intelligence company owned by Google, recently announced that it has developed an AI system called AlphaGeometry in collaboration with researchers from New York University. This AI system can solve complex geometry problems and its performance is comparable to that of gold medalists in the International Mathematical Olympiad, marking a breakthrough in the field of artificial intelligence.

Test results show that out of 30 geometry problems compiled from the International Mathematical Olympiad from 2000 to 2022, AlphaGeometry solved 25 problems within the competition time, while human gold medalists typically solve 25.9 problems. In comparison, the most advanced AI systems before this could only solve 10 of these problems.

1. According to the Korean Daily Economic News, Sam Altman, the founder of OpenAI, will meet with the CEO of Samsung's chip business in South Korea.

2. According to insiders, Amer Sports Inc., the manufacturer of Wilson tennis rackets and Salomon ski boots, is seeking to raise up to $1.8 billion through an initial public offering (IPO) in the United States.

Insiders said that the company may issue approximately 100 million shares at a price of $16-18 per share, and the terms of the offering could be announced as early as the next few days. Insiders also mentioned that there may be changes in the size and timing of the offering.

Pre-market Movement

In pre-market trading, the futures of the three major stock indexes in the US all rose, while the fear index plummeted.

Semiconductor stocks in the US rose across the board before the market opened, with Intel and ASML up more than 1%, AMD briefly up more than 1%, and Qualcomm and NVIDIA following suit.

Chinese concept stocks fell sharply, with XPeng down more than 7%, Bilibili down more than 5%, JD.com, Baidu, and Li Auto down more than 4%, NetEase, NIO, and Alibaba down more than 3%, and Pinduoduo down more than 2%.

Strategy Review

1. Why did Buffett clear out his position in Wells Fargo and buy Citigroup two years ago?

Buffett's investment philosophy has always emphasized value investing and long-term holding. His investment in Citigroup may indicate that he sees the potential of Citigroup under Fraser's leadership. Although Fraser's restructuring plan faces challenges, its core is to enhance Citigroup's long-term value, which coincides with Buffett's investment philosophy.

2. AI PC frenzy in the US stock market! Intel, AMD, and Qualcomm join forces to challenge NVIDIA's dominant position

Intel, AMD, and Qualcomm have successively embedded NPU, the central processing unit for AI PC, into their own chips, forming a siege against NVIDIA's GPU. However, even without NPU, NVIDIA's GPU can still deliver excellent performance on PCs.

3. Earnings Preview | Is Netflix worth chasing after?

Netflix will announce its fourth-quarter earnings after the US stock market closes on Tuesday. Netflix management expects fourth-quarter revenue to grow by 11% YoY to reach $8.7 billion. The estimated earnings per share for Q4 are $2.24, with revenue of $8.71 billion, representing an 11% YoY growth.

4. Bulls in the US stock market need to be cautious!

Although the S&P 500 index closed at a new all-time high last week, investors are grappling with data showing the resilience of the US economy and Federal Reserve officials opposing premature rate cuts. Wall Street's anxiety about excessive bullish bets on Fed rate cuts is growing. Traders have reduced the number of expected rate cuts to five and have started to cut back on bets that the Fed will start a monetary easing cycle in March. Investors are less optimistic about stocks compared to November last year, but still prefer stocks over bonds.

5. Earnings Preview | Intel's stock price rebounds strongly by 65%, has the turning point arrived?

Intel will announce its fourth-quarter earnings on the morning of January 26th. Over the past year, Intel's stock price has rebounded strongly by 65%, outperforming the S&P 500 index. Analysts generally expect Intel's fourth-quarter performance to be good, and investors are optimistic about its performance. In addition, Intel has demonstrated diversified strategic focuses, such as divesting its programmable solutions business and expanding its artificial intelligence plans. It is expected that Intel will be able to maintain its strength while advancing its strategic focuses.