Wall Street: Out of tech, into the Dow Jones

Goldman Sachs impressed banks and investment houses with a 72 percent jump in stock trading revenues. Citigroup also beat expectations, while JP Morgan disappointed in profit and revenue and trading activity slowed in the quarter.

At the same time, the sell-off in semiconductors and AI infrastructure continues. The decisive burden factor is less demand than financing. Bond and stock issues for AI projects are increasingly encountering resistance, and several IPOs have been postponed. Since many providers' investments significantly exceed operating cash flow, more difficult capital raising could slow the pace of data center expansion and thus chip purchases. At the same time, Meta Platforms shows that the AI ​​story is not weakening across the board.

Pivotal Research raises its price target to $930 after Muse reached 2.8 million installs in 12 days. The next crucial test will follow tomorrow with consumer prices. If they don't turn out hotter than expected, that could finally create room for a recovery in bonds and growth stocks.