Meta Platforms is likely to deliver one of the most closely watched quarterly reports of the upcoming earnings season. With the company spending heavily to transition the social media giant into a more artificial intelligence (AI)-focused operation, investors will have all the more reason to focus on the " Magnificent Seven" stock. Investors might recall the 20% gain in the stock following the release of the February 2024 numbers.
In the absence of macro jobs data due to the U.S. government shutdown, traders are piling into AI stocks, ING told clients this morning. "Financial market volatility is falling across the board, partly driven by the US government shutdown and the delay to key data releases such as the September jobs data. Instead, investors remain transfixed by the AI-driven rally in megacap tech shares, which shows no signs of slowing."
According to figures from researchers at Omdia, the annual datacenter capex of cloud giant Amazon alone now exceeds $100 billion, making it roughly comparable to the entire GDP of Costa Rica.