Alpha Coverage #105
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[News] S&P 500's Thursday-Friday rout among largest two-day declines in the last 40 years
U.S. President Donald Trump's imposition of the steepest American tariffs in over a century has resulted in one of the largest two-day falls in the benchmark S&P 500 index (SP500) since Black Monday 1987.
The S&P slumped -10.53% over Thursday and Friday, leaving it at 5,074.08 points. That level marks a -17.42% retreat from the index's most recent record close.
This was the biggest two-day decrease since the S&P (SP500) slid -13.93% across March 11 and 12, 2020. That crash came during the height of the COVID-19 pandemic and lockdowns across the globe.
This was the 5th worst 2-day window for stocks since 1945.
Link to Seeking Alpha News Article - Apr. 05, 2025
[News] India does not plan to retaliate against Trump's tariffs: Reuters
According to the report, Indian Prime Minister Narendra Modi's administration believes it has an advantage due to being one of the first nations to kick off trade talks with the U.S., and is better placed than Asian nations like China, Vietnam, and Indonesia, which have been slapped by higher tariffs.
Modi met with Trump in Washington in February, with the two countries agreeing to resolve tariff issues and complete work on the initial parts of a trade deal by autumn 2025.
New Delhi, which aims to reach two-way trade of $500 billion with the U.S. by 2030, promised to purchase more U.S. oil, gas, military gear and combat illegal immigration. India joins countries like Vietnam, Indonesia and Taiwan in ruling out counter tariffs, even as the European Union and China plan retaliation.
India, which has been called a "tariff king" by Trump, has already taken steps to reduce tariffs on American goods. It has slashed tariffs on bourbon whisky to 100% from 150%, and reduced levies on luxury cars, machinery and solar cells.
Link to Seeking Alpha News Article - Apr. 06, 2025
[News] Redwire Corporation and ispace technologies-U.S. to jointly pursue commercial lunar exploration missions
Redwire Corporation (NYSE:RDW) and ispace technologies-U.S. announced a memorandum of understanding to jointly pursue commercial lunar exploration and science missions for the NASA Commercial Lunar Payload Services initiative and other customers.
The NASA CLPS contract is a multi-award indefinite delivery, indefinite quantity contract with a cumulative maximum contract value of $2.6B through 2028.
Link to Seeking Alpha News Article - Apr. 08, 2025
SPY 0.00%↑ DIA 0.00%↑ QQQ 0.00%↑ FXI 0.00%↑
[News] Trump issues 90-day pause on most reciprocal tariffs except for China, Nasdaq Rallies
U.S. President Donald Trump on Wednesday said he was issuing a 90-day pause on reciprocal tariffs for more than 75 countries that had reached out for negotiations.
He also slapped China with a higher rate of 125%.
As for China, the Asian nation earlier on Wednesday retaliated by raising its tariff rate on imports from the U.S. to 84%. The world's second-largest economy called the American trade barriers "a mistake on top of a mistake."
Wall Street's tech-heavy Nasdaq Composite index (COMP:IND) on Wednesday notched its second-best day ever following the 90-day pause announcement.
The Nasdaq (COMP:IND) skyrocketed +12.16% to end at 17,124.97 points.
The advance was only outpaced by +14.17% jump logged on January 3, 2001.
The S&P posted its best day since the financial crisis in 2008.
Investors seem to be assuming that the U.S. and China will start to negotiate seriously.
Link to Seeking Alpha News Article - Apr. 09, 2025
Link to Seeking Alpha News Article - Apr. 09, 2025
Link to Seeking Alpha News Article - Apr. 09, 2025
[News] White House steps back from potential export curbs on Nvidia's H20 chips: report
The Trump Administration is apparently pausing the implementation of an export ban to China for Nvidia's (NASDAQ:NVDA) H20 graphic processing units, according to a report by NPR.
The change of heart by the White House came after Nvidia CEO Jensen Huang attended a $1M per head dinner at Mar-a-Lago last week, according to the report by NPR. Nvidia allegedly said it would make new investments in U.S.-based AI data centers.
Link to Seeking Alpha News Article - Apr. 09, 2025
NVDA 0.00%↑ AMD 0.00%↑ QCOM 0.00%↑ TSM 0.00%↑ ON 0.00%↑
[News] China tariffs exempt U.S. semiconductor companies that outsource manufacturing: report
China's import tariffs on U.S. goods provide an exemption for U.S. semiconductor firms that outsource their manufacturing, according to a post by the China Semiconductor Industry Association, on Friday.
"For all integrated circuits, whether packaged or unpackaged, the declared country of origin for import customs purchases is the location of the wafer fabrication plant," the CSIA posted on WeChat, according to Reuters.
U.S. firms such as Qualcomm (NASDAQ:QCOM) and Advanced Micro Devices (NASDAQ:AMD), who outsource manufacturing to Taiwan Semiconductor Manufacturing (NYSE:TSM), are exempted as China regulators classify these chips as originating from Taiwan, the report said.
"In contrast, chips made by Intel (NASDAQ:INTC), Texas Instruments (NASDAQ:TXN), ADI (NASDAQ:ADI), and ON Semiconductor (NASDAQ:ON) - which operate their own U.S.-based fabs - may be classified as U.S. origin and be liable for tariff rates of 84% or higher," the CSIA noted.
On Friday, China boosted its tariffs on U.S. imports to 125% from 84%, effective April 12, and stated it will disregard any additional tariff hikes announced by Washington moving forward. The White House on Thursday clarified that the cumulative tariff on China-produced goods coming into the U.S. will total 145%.
Link to Seeking Alpha News Article - Apr. 11, 2025
[YouTube/CNN] Trump administration’s private warning to China ‘fell on deaf ears’
Just listen to 80 seconds of this clip (Until 3:46): The most concise reporting on where China and USA stand in terms of the tariff negotiation.
Link to Full Video (TimeStamped) (80 Seconds) - Apr. 11, 2025
News, Facts, Analyst & Market Commentary - Short Reads:
FXI 0.00%↑ #TikTok
China puts TikTok deal on hold over Trump's tariffs: report
A deal to spin off TikTok's U.S. operations was put on hold after the Chinese government indicated it would not approve the deal following President Donald Trump's tariffs announcements, Reuters reported Friday.
Trump on Friday signed an executive order to extend the April 5 deadline for a deal to keep TikTok (BDNCE) operating in the U.S. for 75 more days.
The deal, which had been approved by existing investors, new investors, ByteDance (BDNCE) and the U.S. government, would have spun off TikTok's U.S. operations into a new U.S.-based company majority owned and operated by U.S. investors, the report said. ByteDance's (BDNCE) holding would be reduced to under 20%.
However, any deal involving TikTok would require China's approval, which now faces 54% tariffs on goods imported into the U.S., and which has announced its own retaliatory tariffs.
Link to Seeking Alpha News Article - Apr. 05, 2025
FXI 0.00%↑ #TikTok
[Newsletter Exclusive] Tech bull Dan Ives slashes PT for Tesla, Apple over Trump's 'tariff armageddon'
Calling Trump's "Liberation Day" tariffs a "double whammy" for Elon Musk's Tesla (TSLA), Ives expressed concerns over Chinese consumer backlash against the American electric vehicle maker, given Musk's close relationship with Trump.
"Tesla has essentially become a political symbol globally....and that is a very bad thing for the future of this disruptive tech stalwart and the brand crisis tornado that has now turned into an F5 tornado," said Ives.
According to his estimates, Tesla (TSLA) has lost 10% of its future customer global base due to "self created brand issues," with the number possibly hitting 20% in Europe.
Ives called for Musk to "step up, read the room, and be a leader," highlighting Tesla's (TSLA) potential with Full Self-Driving, lower cost models, and the autonomous and robotics future.
Wedbush is now considering "new reduced estimates for 2025/2026" for Tesla (TSLA), said Ives.
With 90% of iPhones produced in China, over 50% of Mac products, and 75%-80% of iPads, Ives labelled the newly announced tariffs are a "complete disaster" for the Cupertino-based giant.
"The reality is it would take 3 years and $30 billion dollars in our estimation to move even 10% of its supply chain from Asia to the U.S. with major disruption in the process," said Ives.
Ives does not believe it would be possible for Apple (AAPL) to build a $1,000 iPhone in the U.S., with a domestically manufactured iPhone expected to sell for $3,500.
"Price points would move up so dramatically it's hard to comprehend and the near-term margin impact on Apple's gross margins during this tariff war could be mind boggling for this US tech stalwart," said Ives.
Link to Seeking Alpha News Article - Apr. 06, 2025
AAPL 0.00%↑ EPI 0.00%↑ INQQ 0.00%↑
Apple to source more iPhones from India to bypass tariffs: Wall Street Journal
According to the report, the adjustments are a short-term stopgap while Apple attempts to win an exemption from President Trump’s tariffs.
However, Apple sees the current situation as too uncertain to upend long-term investments in its supply chain.
The Times of India reported that Apple sent five airplanes worth of iPhones from India to the U.S. last week to avoid the 10% tariff charges placed on India. This highlights the extreme steps companies are taking in light of Trump's tariff announcement.
Trump has imposed tariffs of at least 54% on Chinese goods, while the rate on Indian goods is just 26%. China has retaliated with a 34% tariff on certain U.S. goods.
In another round of escalation of the trade war, Trump earlier in the day threatened a fresh round of tariffs on China, which led Apple shares to decline to more than 7%.
Link to Seeking Alpha News Article - Apr. 07, 2025
Link to Seeking Alpha News Article - Apr. 07, 2025
Chip stocks fluctuate as EU gets set to retaliate against Trump's tariffs
The 27-country bloc faces could likely approve a first set of targeted countermeasures on up to $28B of U.S. imports, such as U.S. meat, wine, cereals, wood, clothing, chewing gum, dental floss, vacuum cleaners, toilet paper, and diamonds.
The potential move by the EU would place it alongside countries such as China and Canada, who have imposed retaliatory tariffs on the U.S.
“We are already finalizing a first package of countermeasures in response to tariffs on steel,” Ursula von der Leyen, president of the European Commission, said on April 3. “And we are now preparing for further countermeasures, to protect our interests and our businesses if negotiations fail.”
The EU faces 25% import tariffs on steel and aluminum and cars, and “reciprocal” tariffs of 20% from Wednesday for almost all other goods.
U.S. tariffs cover about 70% of the E.U.'s exports to the U.S., worth about total €532B ($585B) last year. Levies are likely to be placed on copper, pharmaceuticals, semiconductors and timber, the report added.
On Wednesday, the initial EU counter-tariffs would be put to vote and will be approved unless a qualified majority of 15 EU members representing 65% of the EU's population oppose it, according to the report.
Link to Seeking Alpha News Article - Apr. 07, 2025
OXY 0.00%↑ BLK 0.00%↑ #1PointFive
Occidental Petroleum wins first EPA permits for world's largest carbon capture plant
Occidental Petroleum (NYSE:OXY) and its 1PointFive subsidiary said Monday they received approval from the U.S. Environmental Protection Agency for Class VI permits to sequester carbon dioxide from the STRATOS Direct Air Capture facility in Texas, marking the first permits issued for CO2 sequestration from a DAC project.
STRATOS is designed to capture up to 500K metric tons/year of CO2, making it the world's largest DAC facility, and is scheduled to begin commercial operations in 2025; the facility is a joint venture between Occidental's (NYSE:OXY) 1PointFive unit and asset manager BlackRock (BLK).
Link to Seeking Alpha News Article - Apr. 07, 2025
Vietnam will buy defense goods from U.S. to reduce trade gap, seeks 45-day tariff delay
Vietnam will increase its purchases of American goods, including defense and security products, as part of an effort to address its significant trade surplus with the U.S. This move comes alongside a request for a 45-day delay in the imposition of 46% U.S. tariffs, recently announced by President Donald Trump.
At a cabinet meeting late Monday, Prime Minister Pham Minh Chinh said that Vietnam will seek quicker deliveries of commercial aircraft that it had earlier ordered from the U.S.
Party chief To Lam and President Trump had a call on April 4, which Trump described as "very productive." During the discussion, Lam affirmed that Vietnam is open to eliminating import taxes on American goods and suggested that the U.S. treat Vietnamese exports similarly.
The Trump administration had also expressed concerns over non-tariff issues, including transshipping from China and intellectual property theft.
Link to Seeking Alpha News Article - Apr. 08, 2025
SPY 0.00%↑ DIA 0.00%↑ QQQ 0.00%↑
[Newsletter Exclusive] Elon Musk made direct appeal to Trump for reversing tariffs - The Washington Post
Musk's efforts, however, have been unsuccessful so far. Trump's threat of a 50% duty on Chinese goods, in addition to a previously announced 34% tariff, sparked significant concern among business owners and economists, who warn of potential inflation and recession risks.
Trump remains committed to his trade strategy, although he has indicated some openness to negotiations.
Business leaders have been trying to form an informal coalition to push the Trump administration for more moderate policies, one of the sources said.
Link to Seeking Alpha News Article - Apr. 08, 2025
[Newsletter Exclusive] Shopify: No hiring until proof job cannot be done by AI
"Before asking for more Headcount and resources, teams must demonstrate why they cannot get what they want done using AI," Shopify (NASDAQ:SHOP) CEO Tobi Lütke wrote in a memo publicly shared on X. "What would this area look like if autonomous AI agents were already part of the team? Frankly, I don’t think it's feasible to opt out of learning the skill of applying AI in your craft; you are welcome to try, but I want to be honest - I cannot see this working out today, and definitely not tomorrow."
"Reflexive AI usage is now a baseline expectation at Shopify," Lütke added, saying it applied to everyone at the company, including himself and other top brass. Shopify will also start to include AI usage in employee performance and peer reviews, with the technology set to "totally change Shopify, our work, and the rest of our lives."
Link to Seeking Alpha News Article - Apr. 08, 2025
Apple seeing 'panic buying' of iPhones amid tariff worries: report
Several Apple (NASDAQ:AAPL) stores have seen instances of “panic buying” of iPhones amid worries that prices could rise due to President Trump's tariffs on foreign countries, Bloomberg reported.
Stores across the U.S. were “filled with customers” at levels akin to the holiday season, the news outlet added.
“Almost every customer asked me if prices were going to go up soon,” an unidentified worker told the news outlet.
Link to Seeking Alpha News Article - Apr. 08, 2025
[Newsletter Exclusive] Generac unveils new line of generators targeted to data center demand
Generac (NYSE:GNRC) +2.8% pre-market Tuesday after announcing the launch of new generators with its biggest capacity offering in North America, designed for the data center market.
The company, which currently serves smaller data center demand, said it is introducing a lineup of five new generators for the North American market, ranging from 2.25 MW to 3.25 MW - a step up from its current maximum capacity of 2 MW - that will expand its ability to support high-capacity applications while integrating into energy ecosystems.
Link to Seeking Alpha News Article - Apr. 08, 2025
AMZN 0.00%↑ #Zoox
Amazon's Zoox expands fleet testing to the Los Angeles area
Zoox said Los Angeles will mark its sixth testing location. The autonomous robotaxi developer's test fleet now operates in the Bay Area, including San Francisco, as well as Los Angeles, Las Vegas, Seattle, Austin, and Miami.
Amazon (NASDAQ:AMZN) acquired Zoox in June 2020 for over $1.2 billion.
Link to Seeking Alpha News Article - Apr. 08, 2025
Apple tumbles as Leavitt says Trump believes iPhones can be built in US
Apple (NASDAQ:AAPL) shares extended their losses and tumbled 6.5% on Tuesday after White House Press Secretary Karoline Leavitt said President Trump believes iPhones can be built in the U.S.
Over the past four trading sessions, Apple has lost 23% of its value and rescinded its crown as the most valuable U.S. company to Microsoft (MSFT).
Trump believes the U.S. has the workforce and resources needed to build the smartphones domestically, Leavitt said at her press briefing. Leavitt's comments came after U.S. Trade Representative Jamieson Greer said earlier in the day that Trump would not provide exemptions to his tariffs for individual products or companies.
In the 2018 trade war between the U.S. and China, Trump had granted an exception to Apple for its iPhones, which are largely manufactured out of China.
Link to Seeking Alpha News Article - Apr. 08, 2025
$VIX
[Newsletter Exclusive] Wall Street’s volatility gauge ends above 50 for the first time since COVID market crash
Volatility has been the state of play over Monday and Tuesday, as major market indices have seen dizzying swings on either side of the flat line. This whipsawing in sentiment is perhaps no better reflected than in Wall Street's fear gauge, which closed above 50 points for the first time in just over five years.
The Cboe Volatility Index (VIX) on Tuesday soared as high as 57.52 points on the session and closed at 52.33. The last time the gauge ended above the 50 level was on April 2, 2020, when markets were gripped in the fallout of the COVID-19 collapse.
The broader averages, meanwhile, roared out of the gates but finished the day in the red.
Link to Seeking Alpha News Article - Apr. 08, 2025
GOOG 0.00%↑ GOOGL 0.00%↑ AVGO 0.00%↑ MU 0.00%↑
[Newsletter Exclusive] Google unveils 7th gen TPU
Google (NASDAQ:GOOG) (NASDAQ:GOOGL) unveiled the seventh-generation tensor processing unit chips, which will be the first designed specifically for inference.
The new chip, which is called Ironwood, will come in two sizes based on AI workload demands: a 256 chip configuration and a 9,216 chip configuration. The chip will be available to cloud customers later in the year.
Ironwood scales up to 9,216 liquid-cooled chips linked with breakthrough Inter-Chip Interconnect networking spanning nearly 10 MW, the blog stated.
The firm added that the Ironwood perf/watt is 2 times relative to Trillium. Trillium was the company's sixth-generation of its tensor processing unit chips.
Ironwood will also offer 192 GB per chip, 6 times that of Trillium.
“Ironwood offers five times more peak compute capacity and six times the high-bandwidth memory (HBM) capacity compared to the prior-generation TPU,” Google said in a blog post, referencing its latest TPU.
Link to Seeking Alpha News Article - Apr. 09, 2025
Link to Seeking Alpha News Article - Apr. 09, 2025
GOOG 0.00%↑ GOOGL 0.00%↑ #SSNLF #SamsungBallie
Samsung partners with Google to bring Gemini to its AI robot companion
Samsung's (SSNLF) new artificial intelligence-powered home robot companion, Ballie, will utilize Google's (NASDAQ:GOOG)(NASDAQ:GOOGL) Gemini, its popular large language model.
Ballie, which is slated for release this summer, will engage with users through "natural" conversation to help manage households, tackling tasks such as greeting visitors, personalizing schedules, lighting, and even projecting videos.
A short video by Samsung shows the yellow, volleyball-sized Ballie wheeling around a household giving a mother hairstyling advice, showing a kid the latest trending shorts and informing dad he is late for work.
Link to Seeking Alpha News Article - Apr. 09, 2025
GOOG 0.00%↑ GOOGL 0.00%↑ RDDT 0.00%↑
[Newsletter Exclusive] Reddit leverages Google Gemini to power search on 'Reddit Answers'
Google Gemini (NASDAQ:GOOG) (NASDAQ:GOOGL) has been integrated into Reddit's (NYSE:RDDT) AI-powered conversational interface.
"Reddit Answers," which is currently available in the U.S., uses Gemini to power part of its search to help people find information, recommendations, discussions, and insights directly from the conversations and communities across Reddit, the companies said in a press release Wednesday.
Link to Seeking Alpha News Article - Apr. 09, 2025
NVDA 0.00%↑ #Anthropic
[Newsletter Exclusive] Anthropic launches its own $200-a-month Claude subscription plan
Following OpenAI's decision to launch a $200-a-month subscription plan for ChatGPT, Anthropic has followed suit.
The Amazon (NASDAQ:AMZN) backed generative artificial intelligence startup announced two subscription plans for its Claude chatbot, known as the Max plan. One tier costs $100-a-month and is “ideal for frequent users who work with Claude on a variety of tasks,” Anthropic said. The $200-a-month plan is considered ideal for “daily users who collaborate often with Claude for most tasks.”
Link to Seeking Alpha News Article - Apr. 09, 2025
Chinese sellers on Amazon mull price hikes or US exit as Trump slaps 125% tariff
Chinese companies that sell products on Amazon (NASDAQ:AMZN) are reportedly preparing to hike prices for the U.S. or quit the market due to the "unprecedented blow" from President Donald Trump's tariff hikes, the head of China's largest e-commerce association said.
"It'll be very hard for anyone to survive in the U.S. market," she said, noting the tariffs could also lead to customs delays and higher logistics costs.
Amazon (NASDAQ:AMZN) has meanwhile cancelled orders that originate from China and Southeast Asian countries, leaving certain vendors on the hook with unsold inventory.
Andy Jassy, CEO of retail giant Amazon (NASDAQ:AMZN), has said its third-party sellers may “pass costs on” related to US President Donald Trump’s tariffs to customers.
“I understand why, I mean, depending on which country you’re in, you don’t have 50% extra margin that you can play with,” Jassy said in the interview, explaining why sellers would pass on the costs.
On Thursday, U.S. President Donald Trump announced he would raise the tariff on Chinese imports to 145%.
In turn, China is preparing countermeasures targeting US companies and looking to strengthen trade, investment, and industrial cooperation with the EU.
Chinese President Xi Jinping is set to visit Vietnam, Malaysia, and Cambodia from April 14-18 designed to bolster ties with crucial Southeast Asian neighbors.
Link to Seeking Alpha News Article - Apr. 10, 2025
Link to Seeking Alpha News Article - Apr. 10, 2025
Link to Seeking Alpha News Article - Apr. 10, 2025
Link to Seeking Alpha News Article - Apr. 10, 2025
TSM 0.00%↑ AAPL 0.00%↑ NVDA 0.00%↑ AMD 0.00%↑
[Newsletter Exclusive] TSMC Q1 sales top estimates on surging AI demand ahead of U.S. tariffs
First-quarter revenue totaled NT$839.25 billion ($25.6 billion), up 41.6% compared to the same period in 2024, marking the company’s fastest pace of growth since 2022. Analysts on average expected around NT$830.5 billion, as per Bloomberg.
March revenue also rose 46.5% Y/Y to approximately NT$285.96 billion as electronics makers had built up inventories in U.S. warehouses, preparing for possible trade disruptions
The results come amid rising concerns that tariffs could dampen demand for electronics like iPhones. Over the weekend, U.S. consumers rushed to buy Apple’s flagship device, worried that prices could rise to offset the added costs.
Taiwan Semiconductor (NYSE:TSM), whose customers include Apple (AAPL), Nvidia (NVDA), and AMD (AMD), will report its full Q1 earnings on April 17. Investors will be watching for a possible downward revision to the full-year sales target and capital expenditure plans, as the outlook for global chip demand weakens amid uncertainty following new U.S. tariffs imposed on April 9, Bloomberg Intelligence said.
Link to Seeking Alpha News Article - Apr. 10, 2025
GOOG 0.00%↑ NVDA 0.00%↑ AVGO 0.00%↑
Google reiterates $75B spending plan for data centers amid tariff woes
"In 2025, we plan to invest around $75B in total capex. This investment will be directed towards our servers and data centers, which include powering our AI compute and cloud business," said Pichai at the Google Cloud Next Conference 2025 on Wednesday. So this will greatly benefit our customers, like all of you.
Link to Seeking Alpha News Article - Apr. 10, 2025
[Newsletter Exclusive] China's purchase of US oil likely heading towards zero; JPM stays bullish on global copper miners
JPM Commodities Research still sees the global copper market deficit widening to ~3Mt by 2030E and, as such, remains bullish on the global copper miners long-term.
JPM sticks to its view, although macro uncertainty could continue to weigh on mining equities near-term, adding that new leaching technologies could add ~590ktpa (~2% of global supply) to the market by 2030E, but is likely insufficient to fill the long-term market deficit.
In the Americas, it recently upgraded Freeport and expects FCX (FCX) to deliver material volume growth from new leaching technologies near-term.
Link to Seeking Alpha News Article - Apr. 10, 2025
GOOG 0.00%↑ #Waymo
Alphabet's Waymo on track to start mapping Tokyo streets
Waymo, Alphabet's (NASDAQ:GOOG) (NASDAQ:GOOGL) autonomous driving unit, is deploying 25 manually-driven rides to collect road data in Tokyo next week, marking its first international test drive.
"After months of collaboration, Waymo, Nihon Kotsu, and GO will begin mapping streets using our manually-driven cars with Waymo technology across seven Tokyo wards soon," the company announced.
Nihon Kotsu is a Japanese taxi firm and Go is a local ride-hailing app.
Link to Seeking Alpha News Article - Apr. 10, 2025
AMZN 0.00%↑ #ProjectKuiper
[Newsletter Exclusive] Amazon CEO talks about AI investment, Kuiper and operating like 'world’s largest startup' in letter to shareholders
Jassy blamed chips to be "biggest culprit" for why AI is expensive today but added that AI won’t be so expensive in the future. He noted that the company's new Trainium2 chips offer 30% to 40% better price-performance than the current graphics processing unit, or GPU-powered compute instances generally available today.
Link to Seeking Alpha News Article - Apr. 10, 2025
[Newsletter Exclusive] What if Apple doesn't raise iPhone prices to combat tariffs? Morgan Stanley answers
With the 90-day reciprocal tariff reprieve, Apple will look to its ODM partners in India – Hon Hai, Pegatron, and Tata – and communicate the desire to significantly ramp production in India to help meet US iPhone demand.
Link to Seeking Alpha News Article - Apr. 10, 2025
SPY 0.00%↑ DIA 0.00%↑ QQQ 0.00%↑
[Newsletter Exclusive] UBS warns market rally may be premature, urges caution; Not as helpful as it sounds, Citi says
“We believe even these reduced tariffs will imply a serious hit to growth. We expect negative earnings revisions to continue and create a headwind for the market. We don’t expect the highs to be tested and would recommend selling rallies until we learn more,” the UBS global research team stated on Thursday morning.
Citi Research cautioned that the reprieve might offer only short-term relief. “Pausing reciprocal tariffs excluding China does not mean the US economy has avoided a slowdown in growth and rise in inflation,” Citi said in a recent note to clients.
The investment institution emphasized that the broader trade war remains very much alive. The baseline 10% tariff, combined with an additional 125% in levies on most Chinese goods and targeted industry tariffs, has pushed the average effective U.S. tariff rate up by roughly 21 percentage points since the start of the year.
Link to Seeking Alpha News Article - Apr. 10, 2025
Link to Seeking Alpha News Article - Apr. 10, 2025
Ford, Lear, Visteon downgraded at Goldman Sachs on tariff risks, weaker demand
Aurora Innovation (NASDAQ:AUR) received a bump to Neutral from Sell, with analysts noting that their previous bearish catalyst — slower autonomous trucking ramp — has largely played out. Aurora (NASDAQ:AUR) stock has surged 99% since being placed on the
Sell list in January, despite revenue downgrades. Goldman now sees a scarcity premium and long-term investor interest in autonomy as supporting the stock.
Aurora is seen as a first-mover in autonomous trucking and is expected to begin driverless commercial operations this year, albeit on a small scale, the analysts wrote, while cautioning that the company still faces a multiyear path to profitability and will likely need additional capital.
Last month, Oppenheimer launched coverage on Aurora Innovation (NASDAQ:AUR) with an Outperform rating.
Link to Seeking Alpha News Article - Apr. 10, 2025
Link to Seeking Alpha News Article - Mar. 27, 2025
AMZN 0.00%↑ #TikTok
[Newsletter Exclusive] Amazon's Andy Jassy on TikTok U.S. bid: 'I don’t think we said that'
Amazon's (NASDAQ:AMZN) top boss, Andy Jassy, said in an interview on CNBC Wednesday that the company did not say it is bidding for TikTok U.S.
Link to Seeking Alpha News Article - Apr. 10, 2025
SPY 0.00%↑ DIA 0.00%↑ QQQ 0.00%↑
[Newsletter Exclusive] S&P 500 rally stalls at key resistance, limited further upside - BTIG
“SPX is nearly at its 50% retracement of the entire decline (5491). There is an unfilled gap at 5571 which we think can get filled in coming days, but don't see a meaningful near-term upside beyond that,” BTIG’s Jonathan Krinsky said.
Link to Seeking Alpha News Article - Apr. 10, 2025
Ocean Power signs reseller agreement with Elektron & Grava Hydro
On Friday, Ocean Power Technologies (NYSE:OPTT) announced the signing of a reseller agreement with Elektron SAS, a Cartegena, Colombia based specialist in hydrographic and oceanographic instrumentation services.
This partnership significantly expands OPT’s commercial footprint across Latin America, leveraging Elektron’s strong regional presence and deep relationships.
Under the agreement, Elektron will offer sales, integration, and support services and includes a $4M purchase commitment for OPT’s full suite of intelligent maritime technologies.
On Thursday, Ocean Power Technologies (NYSE:OPTT) announced the signing of a reseller agreement with Grava Hydrographic Solutions, a U.S.-based specialist in hydrographic and oceanographic equipment integration and services.
Under the agreement, Grava Hydro will expand the availability, sales, and support of OPT’s Unmanned Surface Vehicles, the Wave Adaptive Modular Vessels, throughout the U. S.
Link to Seeking Alpha News Article - Apr. 10, 2025
Link to Seeking Alpha News Article - Apr. 11, 2025
Tesla stopped taking Model S and Model X orders in China as tariff repercussions continue: Reuters and The New York Times
Both the Model S and Model X are made in the United States and imported to China. While the Austin-based company did not give a reason for the move, the dueling tariff war between China and the U.S. has altered the playing field for EV sellers in both nations.
Tesla (NASDAQ:TSLA) delivered just over 2,000 Model S and Model X vehicles in China during 2024 as it focused mainly on the Model 3 and Model Y.
Link to Seeking Alpha News Article - Apr. 11, 2025
If China tariffs stick, iPhones could cost $2,000 or more, Wedbush warns
The Trump administration has been adamant that it is about helping Main Street as opposed to Wall Street. If its tariff level of 145% on Chinese goods lasts for more than a few weeks, it's those on Main Street who could be feeling the pain the most, Wedbush Securities warned.
“Apple is in the eye of this storm and Cupertino has no choice but to price iPhones at $2k+ if these tariffs stick for more than a few weeks,” the analysts at the firm added.
Even as the tech giant has worked to diversify its supply chain in recent years, moving manufacturing to countries like Vietnam, India, Brazil and elsewhere, it's estimated that at least 50% of iPhone production comes from China, along with more than 50% of Macs and 75% to 80% of iPads.
Link to Seeking Alpha News Article - Apr. 11, 2025
AI robot player Richtech Robotics gains after H.C. Wainwright points to significant upside
Analyst Scott Buck pointed to favorable secular tailwinds for Richtech Robotics (NASDAQ:RR), driven by improving technologies and labor shortages. He also highlighted a favorable customer return on investment following the transition to a robot-as-a-service model that is seen helping to increase adoption of service robots over the next several years.
Last month, Richtech Robotics (NASDAQ:RR) announced a strategic move to address labor shortages in the food and beverage sector through robotic automation. The company showcased the Scorpion robot's ability to serve wines and liquors while offering a sommelier-like experience. Richtech also continues to develop specialized robots such as Medbot for hospital deliveries, Titan for heavy-load transportation, and beverage-serving robots like ADAM.
Link to Seeking Alpha News Article - Apr. 11, 2025
#Anker
[Newsletter Exclusive] Chinese electronics firm Anker raises prices on Amazon in response to tariffs: report
China-based Anker has raised the prices of about 127 different products it sells on Amazon (NASDAQ:AMZN) by an average of 18% since last Thursday in response to tariffs, according to Reuters.
Anker produces a wide range of consumer electronics, including phone chargers, power banks, headphones, hubs and docks.
Anker said it increased prices due to its bargaining power and the fact that many of its competitors are Chinese firms as well, facing similar tariffs, according to the report.
Link to Seeking Alpha News Article - Apr. 11, 2025
GOOG 0.00%↑ #Waymo
Robotaxi race: Waymo is off to a strong start in Austin and gaining traction in other markets
Waymo (NASDAQ:GOOG) (NASDAQ:GOOGL) has impressed in Austin during its early launch of a robotaxi service. The autonomous driving company's robotaxi service in Austin attracted 20% of the rides offered by Uber Technologies (NYSE:UBER) during the last week of March, per a report from YipitData. The takeaway is that more Austin rideshare customers were willing to take the autonomous Uber (NYSE:UBER) option for a test drive than some analysts predicted.
YipitData also found that Waymo has generated more than 80% more driverless rides in its operating zone in Austin in the first 27 days of offering the service than it did in the early days of its San Francisco launch.
Weighing in on the Waymo development, A16z partner Alex Immerman noted that when Waymo launched in August 2023 in San Francisco, Uber (NYSE:UBER) had 66% market share in San Francisco and Lyft (LYFT) had the other 34%. As of a check in November, Waymo had snagged 22% market share to match Lyft (LYFT) in the overlapping San Francisco region, while Uber's (UBER) market share declined to 55%.
"Anecdotally, Waymo's wait times are longer than Uber and Lyft because they don't have enough cars on the road. But they are close enough to that acceptable threshold, that their superior product (clean, nice cars, quiet drivers, etc.) tips the riders in their direction. It's possible when Waymo puts more cars on the road and reduces wait times to be in line with Uber and Lyft, their share could climb even faster," highlighted Immerman.
Waymo's autonomous driving service is currently available in Phoenix, San Francisco, Los Angeles, Austin, and the general Silicon Valley region that includes Mountain View, Palo Alto, Los Altos, and parts of Sunnyvale.
Waymo's future competitors in U.S. autonomous driving markets will be Amazon's (AMZN) Zoox (ZOOX) and Tesla (TSLA). Globally, Baidu (BIDU) , WeRide (WRD), and Pony AI (PONY) are out in front of other competitors. In general, analysts believe the U.S. and global robotaxi market will be big enough to support a few major players.
Link to Seeking Alpha News Article - Apr. 11, 2025
MSOS 0.00%↑ HITI 0.00%↑ #GTBIF
[Newsletter Exclusive] Marijuana rescheduling process remains on hold, DEA says
The U.S. Drug Enforcement Agency communicated to an in-house judge on Thursday that a process to reschedule marijuana initiated under the Biden Administration remains on hold, with no briefings currently scheduled.
The update comes as the agency marks three months since the DEA Administrative Law Judge (ALJ) John Mulrooney’s decision to pause the process in January to consider a legal challenge filed by several pro-rescheduling parties.
Link to Seeking Alpha News Article - Apr. 11, 2025
SPIR 0.00%↑ #NOAA
[Newsletter Exclusive] Trump administration looking at steep budget cuts at NOAA
The White House is considering major cuts to the National Oceanic and Atmospheric Administration as it seeks to end most of the agency’s work on climate change, Axios reported Friday, citing an internal document.
According to the report, the document indicates the Trump administration is looking at $1.7B in cuts to NOAA’s overall budget of $4.5B.
The document reportedly suggests that the agency’s Office of Oceanic and Atmospheric Research be eliminated as a line office and most of its budget, down to around $171M.
Axios quoted the document as saying “all funding for climate, weather, and ocean Laboratories and Cooperative Institutes” would be included.
Spire Global (NYSE:SPIR), which provides space-based data, analytics and other services, has a number of contracts with NOAA. The company’s shares closed down nearly 6% on Friday.
Link to Seeking Alpha News Article - Apr. 11, 2025
[Newsletter Exclusive] U.S. power use forecast to reach record highs in 2025 and 2026, EIA says
U.S. power consumption will hit new record highs in 2025 and 2026, the EIA said in its Short Term Energy Outlook this week, forecasting demand will rise to 4,201 billion kWh in 2025 and 4,244 billion kWh in 2026, from a record 4,097 billion kWh in 2024.
The EIA said natural gas' share of power generation will drop from 42% in 2024 to 40% in 2025 and 2026, coal will maintain a 16% share in 2025 before easing to 15% in 2026, as the percentage of renewable generation will rise from 23% in 2024 to 25% in 2025 and 27% in 2026, while nuclear power's share will hold at the 2024 level of 19% in 2025 and 2026.
Link to Seeking Alpha News Article - Apr. 11, 2025
YouTube:
The 7 Best Dividend Stocks to Buy Now | TCAF 187
On episode 187 of The Compound and Friends, Michael Batnick and Downtown Josh Brown are joined by Jenny Van Leeuwen Harrington, Chief Executive Officer of Gilman Hill Asset Management to discuss: Trump vs the bond market, navigating a stock market crash, the Super Bowl of insider trading, Jenny's favorite dividend stocks, and much more!
The stock market is a forward looking indicator (Timestamped)
Link to Full Video (01:31 Hours) - Feb 11, 2024
Disclosure: We own positions in some/all of the tickers mentioned in this article.
