The latest Market Talks covering Technology, Media and Telecom. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
0741 GMT - The EU's tech sovereignty push shows that Europe is serious about economic security, Nadia Calvino, president of the European Investment Bank, says at a summit in Brussels Friday. The bloc outlined plans to boost its domestic tech industry and reduce dependence from foreign companies this week. "I think this reflects that Europe is actually moving from principles and plans to delivery, execution and enforcement," she says, adding that strengthening the EU's strategic and critical infrastructure and ensuring that European companies can innovate and compete both at home and globally is what economic security is about. (edith.hancock@wsj.com)
0735 GMT - Raspberry Pi Holdings appears set to maintain strong revenue and earnings momentum in 2027, Jefferies's Janardan Menon writes in a note. The low-cost computer maker said it expects first-half adjusted Ebitda to be at least $38 million. "This puts the company on course to significantly exceed our full-year forecast of $43.7 million," Menon says. This better-than-expected profitability reflects higher average selling prices, strong demand, and the use of lower-cost DRAM inventory, he notes. Shares are up 17.5% at 9.68 pounds. (najat.kantouar@wsj.com)
0726 GMT - The impending labor unrest at Kakao, if prolonged, could undermine its long-term growth strategy, Daiwa Capital's Thomas Y. Kwon and Joon Lee say. While the South Korean mobile internet company doesn't expect service disruption from the union's planned four-hour strike on Wednesday, a longer-than-expected walkout could hurt its strategy, especially for agentic AI and messaging-app-based mobile services, the analysts write in a note. They say that Kakao has partnered with OpenAI and Google to accelerate the rollout of agentic AI services. However, they remain concerned that the rollout of agentic AI services for commerce, payments and other next-generation platform businesses could be slower than expected. (kwanwoo.jun@wsj.com)
0721 GMT - European blue-chip stock indexes largely fall at the open as tech stocks slide and banks weaken, even as most sectors open in the green. The German DAX falls 0.35%, dragged by a 5% slide for semiconductor maker Infineon Technologies. London's FTSE 100 is down 0.2% as mining stocks fall. The technology-heavy Dutch AEX slides 0.6% as semiconductor stocks slip, with ASML falling 3.2%. The CAC 40 trades flat in Paris as gains for luxury stocks counter a 3.25% slide for STMicroelectronics. Spain's IBEX 35 is 0.2% higher on a rally in consumer-facing stocks. Italy's FTSE MIB falls 0.15%. (josephmichael.stonor@wsj.com)
0510 GMT - The push for domestic substitution is a "structural factor weighing down on China's imports," according to BofA Securities in a research note. Autos and equipment are leading the way, the economists say. "Strong policy support has enabled rapid EV expansion, making China the world's largest producer and a net exporter," they say. Semiconductors are the next catalyst for imports, where heavy policy support is driving incremental gains but reliance on imported advanced chips remains, BofA says. (tracy.qu@wsj.com)
0446 GMT - China's recent import surges are "hardly a sign of rebalancing," according to BofA Securities. It notes that Chinese goods imports have rebounded sharply this year, rising 24% on year in January to April. But the growth is largely price-driven and narrowly concentrated in select categories, especially semiconductors and gold, BofA writes in a research note. Import volumes of semiconductor chips are broadly stable, while unit prices have risen sharply, especially in the memory market, it notes. Demand remains weak overall, it says. More policy support is likely if domestic indicators weaken further, BofA adds. (tracy.qu@wsj.com)
0224 GMT - Furukawa Electric's earnings stand to benefit from thermal solutions for artificial intelligence and optical products, SMBC Nikko Securities analysts say in a research report. The brokerage lifts this fiscal year's operating-profit forecast for the Japanese company to 96 billion yen from 79 billion yen to reflect higher estimates for thermal solutions and high-frequency copper foil. The analysts continue to see sales growth for the electric and electronics equipment company's products like super-high-density optical cables and ferrules. The brokerage raises the stock's target price to 65,000 yen from 32,800 yen based on new P/E that reflects changes in the company's earnings mix, with an unchanged outperform rating. Shares are 2.7% lower at 49,720 yen. (ronnie.harui@wsj.com)
0136 GMT - Malaysia's telecommunications sector could see sequentially stronger industry core EPS in 2Q, driven by seasonal factors, improving mobile revenue and robust fiber connectivity demand, CIMB Securities analyst Choong Chen Foong says in a note. The transfer of the finance ministry's stake in state-backed 5G infrastructure firm Digital Nasional to shareholders Maxis, CelcomDigi and YTL Power International could be completed in 3Q, after which the companies may begin recognizing their share of Digital Nasional's losses, he notes. CIMB maintains an overweight rating on Malaysia's telco sector, pegging Telekom Malaysia as its top pick. (yingxian.wong@wsj.com)
0012 GMT - Megaport's bulls at UBS say the cloud connectivity provider's move to double down on its compute business materially changes its earnings trajectory. Analysts at the investment bank raise their Ebitda forecasts from Megaport's next fiscal year on new contract wins and its launch of a new on-demand GPU pool, more than doubling their forecast for fiscal 2028 to A$531.8 million. They write in a note that any questions about how Megaport's recent Latitude.sh acquisition fit into the broader business have been fully answered, and see potential for the stock to further re-rate as investors get a clearer picture of the Australian company's reinvestment plans. UBS raises its target price 45% to A$24.20 and keeps a buy rating on the stock, which is up 25% at A$20.04. (stuart.condie@wsj.com)
1755 GMT - Descartes Systems' 1Q beat is proof of the "bull case playing out with growth accelerating across the board," says Morgan Stanley analyst Chris Quintero. In a report, the analyst points the broad strength across the business, including 9% year-over-year growth in organic services revenue, the third consecutive quarter of acceleration. The company is benefiting from rising AI adoption as well as more clients turning to its platform to navigate a choppy trade environment. "With continued market share gains, a best-in-class management team, and AI starting to benefit the business, we remain firmly overweight," Quintero says. Descartes Systems climbs 7.2% to C$110.32. (adriano.marchese@wsj.com)
1709 GMT - Bitcoin has more room to fall, says Lacie Zhang of Bitget. In a note, Zhang pegs the new support level for bitcoin as low as $55,000. That would put bitcoin back at levels last seen in 2024. "Crypto may be pricing in macro stress faster, not just reflecting it," says Zhang, adding that what is pressuring bitcoin should soon come for equities, despite the recent strength in AI stocks. "Crypto's 24/7 structure, higher leverage, and more reactive retail base mean it often front-runs macro moves, both on the way down and in recovery," says Zhang. "A retest of $55K-$57K remains possible if outflows persist, but crypto may already be closer to clearing this episode than equity markets are." (kirk.maltais@wsj.com)
1646 GMT - The confirmation of Strategy selling 32 BTC remains a pressure point for bitcoin prices-- even if that's only a tiny fraction of the BTC stockpile held by the company. Strategy still has over 843,000 BTC, far surpassing the 43,000+ BTC held by the next largest stockpiler Twenty One Capital, according to data from CoinMarketCap. Even so, the sale has investors nervous. "The shift in approach from one of the world's largest BTC holders has weighed on market sentiment," says Zach Pandl of Grayscale Research in a note. Strategy head Michael Saylor has advocated for aggressively buying bitcoin and holding onto it. Bitcoin is down 1.8% to $63,790 this afternoon. (kirk.maltais@wsj.com)
(END) Dow Jones Newswires
June 05, 2026 04:20 ET (08:20 GMT)
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