Main US indexes rise modestly
Comm Svcs leads S&P 500 sector gainers; utilities is weakest group
Dollar slips; bitcoin off >3%; gold edges up; crude gains close to 1%
US 10-Year Treasury yield rises to ~4.14%
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ALPHABET TOPS NVIDIA IN VALUATION PREMIUM
In a sign of shifting market sentiment around artificial intelligence, Alphabet Inc GOOGL.O has pulled ahead of Nvidia Corp NVDA.O on a key valuation multiple.
Alphabet's shares have rallied more than 30% in the fourth quarter, pushing its market capitalization closer to $4 trillion and elevating its forward price-to-earnings (P/E) ratio of 28.6 ahead of Nvidia's 25.7.
The surge reflects increasing investor confidence in Alphabet's AI chip business, driven by the growing adoption of its proprietary Tensor Processing Units (TPUs) as a credible alternative to Nvidia’s market-dominant GPUs.
Meanwhile, reports have emerged that rival OpenAI had declared a “code red” to improve ChatGPT amid growing competition from Google's Gemini.
Alphabet is up nearly 70% year-to-date, buoyed by strong cloud growth and upbeat early reviews for its new Gemini 3 model, far outpacing AI bellwether Nvidia’s 36% gain.
Prediction market Polymarket showed increasing odds on Alphabet GOOGL.O overtaking Apple AAPL.O and Microsoft MSFT.O to become the second most valuable company after Nvidia NVDA.O by June, 2026.
(Medha Singh)
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EARLIER ON LIVE MARKETS:
POSSIBLY NO RECESSION BUT STILL NOT GREAT CLICK HERE
FROM ELECTION HEAT TO AI HYPE, ING MAPS US GROWTH PATH CLICK HERE
A DATA CAROL: SEPTEMBER PCE, DECEMBER UMICH CLICK HERE
WALL STREET INDEXES LOOK TO END THE WEEK STRONG AFTER DATA CLICK HERE
BOFA SEES REGULATORY U-TURN PUTTING EUROPEAN AUTOS BACK IN THE DRIVER'S SEAT CLICK HERE
INDIVIDUAL INVESTOR BULLS CHARGE, BEARS RETREAT - AAII CLICK HERE
SPAIN SHINES AS CITI LIFTS EURO ZONE GDP GROWTH FORECAST CLICK HERE
EUROPEAN AUTOS: RUNNING ON EMPTY OR ABOUT TO SHIFT GEARS? CLICK HERE
STOXX 600 HEADS FOR WEEKLY RISE CLICK HERE
EUROPE BEFORE THE BELL: FUTURES IN THE GREEN CLICK HERE
FIRMING FED CUT BETS BUOY STOCKS, UNDERCUT DOLLAR CLICK HERE
Wall Street indexes climb https://fingfx.thomsonreuters.com/gfx/mkt/egpbbjaqmpq/Pasted%20image%201764948594472.png
UMich inflation expectations https://www.reuters.com/graphics/USA-STOCKS/zjpqdnwonvx/umichinflation.png
Alphabet trades at premium to Nvidia https://fingfx.thomsonreuters.com/gfx/mkt/byprbmkngpe/Pasted%20image%201764958295622.png
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