CoreWeave signed a deal

Key highlights

1. Power & gridVistra plunges 13.5% as Texas election rattles AI power trade, KeyBanc downgradesVST -13.8%
2. Policy & regulationVertiv Sinks 9%, GE Vernova Down 8% as Democrats Win Congress, Reviving Data Center FearsVRT -12.9%GEV -9.3%
3. Neoclouds, bonds & AI financingIREN Stock Drops After Report Says It’s Behind Microsoft’s AI Spending Delay, As Investors Turn To EarningsIREN -11.2%MSFT +6.7%
4. Optics & networkingMarvell to buy Lumentum in $115 billion all-stock dealMRVL -7.1%LITE -7.8%
5. AI chips & foundryMicron Technology And 2 AI Chip Stocks To Improve Your PortfolioMU -7.0%
6. Memory & storageSeagate Sinks 8%, Western Digital Down 6% on Election, Memory Price WorriesSTX -8.1%WDC -6.8%

Markets

The S&P 500 rose 1.6%, the Nasdaq 100 rose 1.0% and chip stocks lagged (-2.8%). Asia had a mixed session: KOSPI -5.3%, Taiwan TAIEX -3.2%, Nikkei 225 -1.8%, Hang Seng +3.7%. In Korean memory, SK hynix fell 0.1% and Samsung -0.7%. The US 10-year yield fell 6bp to 4.89%; oil +1.7%, VIX 16.7.

The AI chain today average move · day / week

AI chips & foundry -4.2%

Chip stocks -4.2% on the day (3 of 40 up), -12.6% on the week. Hanmi Semiconductor led (+3.4%) and Cohu lagged (-12.1%).

• Nvidia-Backed Humanoid Maker Agility Goes Public in First for the USNVDA -3.2%
• Qualcomm’s Stock Falls After It Warns Chip Margins Are Getting SqueezedQCOM +5.3%

Chip Testing & Burn-in -8.2% Stood out today

Chip Testing & Burn-in stocks -8.2% on the day (0 of 5 up), -12.7% on the week. Cohu lagged (-12.1%).

Memory & storage -5.1%

Memory and storage stocks -5.1% on the day (0 of 7 up), -16.4% on the week. Seagate lagged (-8.1%).

• Sandisk Sinks 8% as Democratic Wave and Memory Price Worries Hit AI StocksSNDK -7.9%
• Nintendo Switch 2 sales plunge 41% as price hikes and memory crunch bite

Optics & networking -3.2%

Optics and networking stocks -3.2% on the day (4 of 19 up), -15.7% on the week. Eoptolink led (+13.3%) and Credo lagged (-9.6%).

• Coherent profit jumps 91% as AI data centre demand drives growthCOHR -6.0%
• Lumentum Q1 Earnings Spotlight AI Optics Strength And Loss RiskLITE -7.8%

Fiber, Cable & Connectors -6.2% Stood out today

Fiber, Cable & Connectors stocks -6.2% on the day (0 of 4 up), -9.4% on the week. Sumitomo Electric lagged (-7.2%).

AI Networking -2.2% Stood out today

AI Networking stocks -2.2% on the day (2 of 6 up), -11.9% on the week. Arista Networks led (+5.0%) and Credo lagged (-9.6%).

• Credo Technology Group Holding Secures OCP Approval For Two Optical Telemetry StandardsCRDO -9.6%
• Arista’s record quarter shows the network has become central to AIANET +5.0%
• Supermicro and Arista Networks crush expectations as AI infrastructure wins againSMCI -5.7%ANET +5.0%

Servers, racks & components -3.0%

Server and component stocks -3.0% on the day (4 of 27 up), -12.5% on the week. Navitas Semiconductor led (+9.0%) and Vicor lagged (-11.1%).

• Infineon teams with Korea firms to drive 800V AI data center power shiftInfineon Technologies -4.1%
• Schneider Electric: AI racks to exceed 1MW with 800V DC powerSchneider Electric -3.4%

Power & grid -3.8%

Power and grid stocks -3.8% on the day (10 of 50 up), -6.8% on the week. Eos Energy led (+12.6%) and MasTec lagged (-15.4%).

• Constellation Energy Sinks 8%, Vistra Down 14% as Democrats’ Midterm Sweep Hits AI Power StocksCEG -6.7%VST -13.8%
• SpaceX plans to build more data center compute than Google's entire lifetime capacity in just 1.5 yearsGOOGL +3.2%

Data centers, cooling & build speed -7.5%

Data center, cooling and builder stocks -7.5% on the day (4 of 22 up), -12.2% on the week. Jentech Precision led (+6.9%) and Sterling Infrastructure lagged (-21.5%).

• UK renewable firm Downing expands into data center market with 500MW pipeline
• ABB teams up with Korean shipbuilder Hanwha on power and control systems for offshore data centersABB -2.8%
• AI Server Backlog Could Reshape The Dell Stock StoryDELL -8.8%

Hyperscalers & AI spending +3.1%

Hyperscaler stocks +3.1% on the day (4 of 5 up), -2.7% on the week. Microsoft led (+6.7%). The news was mostly about deals and contracts.

• Microsoft walks away from AI deal as $170 billion question growsMSFT +6.7%
• The midterm AI backlash could strengthen Amazon, Microsoft, and Google while squeezing smaller rivalsAMZN +6.1%MSFT +6.7%
• Meta acquires AI coding startup ConductorMETA +1.4%

Neoclouds, bonds & AI financing -9.0%

Neocloud stocks -9.0% on the day (0 of 5 up), -21.0% on the week. IREN lagged (-11.2%).

• CoreWeave Bonds Hit New Lows as Texas Data Centers in CrosshairsCRWV -9.9%
• APAC operator PDG secures $1.3 billion for Malaysia build-out

AI models & applications -1.1%

AI software and security stocks -1.1% on the day (15 of 35 up), -11.1% on the week. Recursion Pharmaceuticals led (+5.4%) and Datadog lagged (-14.4%).

• Almost no one uses AI agents to book their Uber, company saysUBER +4.9%
• Universal Quantum launches iQPU to make help efficiently scale quantum computers
• OpenAI Had ‘Rough’ First Half of Year Before Coding Takeoff, Brockman Says

Robotics & physical AI -0.6%

Robotics stocks -0.6% on the day (20 of 45 up), -4.4% on the week. Ouster led (+15.7%) and Kratos Defense lagged (-12.3%).

• STMicroelectronics Expands STM32 Roadmap for Cloud AI and Physical AISTM -6.1%
• Ouster Sees Explosive Demand for Humanoid Robots and DronesOUST +15.7%
• Powered by GPT-6, Unitree humanoid robots master painting without prior training

Materials +1.0%

Materials stocks +1.0% on the day (17 of 25 up), -5.0% on the week. SQM led (+7.2%) and AXT lagged (-7.4%).

• Africa’s largest copper producer courts investors for $12 billion to fix power shortages as US links electricity expansion to its…
• Adani's Copper Smelter Targets Up to 85% Utilisation by March on Assured Supplies

Policy & regulation

Rules, taxes and local politics are now a regular part of the build-out story.

• Applied Digital Stock Faces Data Center Permit Risk After Election ResultsAPLD -6.7%
• Texas governor-elect Gina Hinojosa promises continued data center moratorium, further legislation

Data & what's coming

• H100 rental price: +1.9% over 7 days.

Next 7 days

• 11-05EarningsSony Group (6758.T)
• 11-05EarningsApplied Optoelectronics (AAOI)
• 11-05EarningsAir Products (APD)
• 11-05EarningsCummins (CMI)
• 11-05EarningsCore Scientific (CORZ)
• 11-05EarningsDenison Mines (DNN)