Key events13m agoFull story: OpenAI confidentially files for initial public offering16m agoIntroduction: Chip stocks bounce back ahead of ‘brat summer’ for AI firmsThe AI trade has continued to bounce back this morning, reports Deutsche Bank’s Jim Reid:
double quotation markThe KOSPI (+7.35%) is sharply higher after its 9th worst day in 45 plus years of history yesterday (-8.29%). The Nikkei (+2.19%) is also benefiting from a recovery in technology stocks after a decline of over -3.5% yesterday.
Chinese stocks are up just over half a percent and other markets are broadly flat. S&P 500 (+0.26%) and NASDAQ 100 (+0.54%) futures are also continuing to recover after a decent session yesterday.
Full story: OpenAI confidentially files for initial public offeringOpenAI has filed confidentially to go public on the US stock market, according to a company blogpost published on Monday. The artificial intelligence giant’s debut on Wall Street is expected to be one of the most highly valued listings in market history with a valuation at more than $850bn.“We recently submitted a confidential S-1. We expect it to leak so we’re just announcing it,” the company’s post reads. “We have not decided on timing yet; it may be a while because there are things we want to do that are likely easier as a private company. But it’s a complicated set of tradeoffs and this gives us the option to go public sooner if that ends up being best.”An S-1 is an investor prospectus submitted to the US Securities and Exchange Commission (SEC) in advance of an initial public offering (IPO). The confidential filing will give regulators a period to review and discuss the company’s financial disclosures before investors and the public are able to view them.More here:Introduction: Chip stocks bounce back ahead of ‘brat summer’ for AI firmsGood morning and welcome to our rolling coverage of business, the financial markets and the world economy.For the second day running, circuit breakers have been triggered on the Seoul stock exchange. But this time, it’s because the market is rising unusually quickly, rather than tumbling like it did on Monday.Shares in South Korea’s chip giants are surging today, as investors pile back into the market after yesterday’s sell-off.This rally is boosting optimism that the recent drop in tech shares is a blip, rather than the long-feared AI market crash.Samsung Electronics’s shares are up over 9% today, while memory chipmaker SK Hynix have surged by 15%.Those two heavyweight stocks have driven South Korea’s KOSPI up by 8.4% in Tuesday’s session, a day after it tumbled by 8%. Today’s market rally triggered successive temporary suspensions of program buy orders, known as “sidecars” in South Korea.SK Hynix was boosted by a new multiyear partnership with Nvidia to develop next-generation memory for AI systems, whicch saw Nvidia’s Jensen Huang tour Seoul, meeting tech firms and handing out fried chicken to journalists:Nvidia founder and CEO Jensen Huang hands out fried chicken to members of the media as he eats and drinks beer with SK Group chairman Chey Tae-won at Kkanbu Chicken. Photograph: Jintak Han/ZUMA Press Wire/ShutterstockIpek Ozkardeskaya, senior analyst at Swissquote, points out that the wild swings in the KOSPI are unusual, and worrying.
