Jan 21st, 2024 – A recent Morgan Stanley survey revealed that Individual investors are increasingly optimistic, with 60% expressing bullishness. The optimism is linked to expectations of Federal Reserve rate cuts. About 60% believe in a “soft landing” for the economy, and 58% see the economy as healthy enough for rate reductions. Despite the Fed signaling cuts, Chris Larkin from E-TRADE at Morgan Stanley urges patience due to modest stock market performance. The survey indicates 42% of investors won’t change portfolios, 26% will, and 18% plan to shift from cash. Inflation (49%) is the top concern, followed by the presidential election (26%) and a potential recession (24%).
Apple (AAPL) must stop the sale of Apple Watches. The U.S. Court of Appeals for the Federal Circuit has rejected Apple’s request to continue selling Apple Watches with blood-oxygen sensors, following a patent infringement case by Masimo in 2021. The court. This might impact Apple’s financial results since smart devices, such as the Apple Watch, in addition to household items and accessories, generated $9.32 billion in net revenue during the fiscal fourth quarter of 2023, constituting over 10% of the company’s overall sales.
Microsoft’s (MSFT) stock surged after unveiling a $1.5 billion partnership with Vodafone (VOD) to advance artificial intelligence (AI). The 10-year partnership with Vodafone focuses on generative AI (GenAI), with Vodafone investing $1.5 billion in cloud and customer-centric AI services developed with Microsoft. Vodafone will use OpenAI technology through Microsoft Azure, and Microsoft plans to invest in Vodafone’s platform, set to be a standalone business by April 2024. Microsoft’s AI leadership, coupled with its strong business model, led analysts to praise its position in the global AI revolution.
Author: Diego Russo