US retail sales fell 0.9% in January, missing expectations, as consumers became cautious with their spending. In contrast, tech stocks are seeing increased interest from companies like Broadcom and TSMC, which may lead to a potential breakup of Intel’s business.
Elon Musk’s proposed $97.4 billion bid for OpenAI was rejected by the company, citing that it would not be in the best interest of its mission. Meanwhile, a deal between Intel, Broadcom, and TSMC is reportedly underway, with Broadcom interested in Intel’s chip design and marketing business, while TSMC looks at Intel’s chip plants.
The US economy relies heavily on consumer spending, which accounted for about two-thirds of economic activity last year. The weak retail sales data may weigh on the country’s gross domestic product. Tech stocks are seen as being overvalued, with some experts warning that they could be due for a pullback.
Source: https://www.cnbc.com/2025/02/17/cnbc-daily-open-elon-musks-money-is-not-the-issue-for-openai.html