CNBC Daily Open: Outside AI, the market isn't looking that hot

The "everything store" mightiness person secured its biggest lawsuit yet.

On Monday, Amazon announced that it had signed a $38 cardinal woody with OpenAI, offering the ChatGPT shaper entree to Amazon Web Services' infrastructure.

On the 1 hand, the determination isn't excessively astonishing — a continuation of OpenAI's spending spree arsenic it looks to unafraid resources to tally its power-hungry artificial quality models.

On the other, OpenAI's crook to Amazon shows that the steadfast is diversifying from its reliance connected Microsoft, which had been its exclusive unreality services supplier until this year. That could suggest OpenAI is getting acceptable for an archetypal nationalist offering arsenic it looks to awesome "both independency and operational maturity," as CNBC's MacKenzie Sigalos writes.

Amazon shares surged connected the quality to adjacent astatine a grounds high. Nvidia besides had a affirmative time aft Microsoft announced it was granted a licence by the U.S. authorities to export the AI darling's chips to the United Arab Emirates.

While Big Tech is attracting capitalist interest, the remainder of the marketplace has been alternatively lackluster.

Even arsenic the S&P 500 and Nasdaq Composite roseate connected the backmost of the tech behemoths, much than 300 stocks successful the broad-based index ended the time lower — a informing motion that only a constrictive conception of the market is faring well.

Palantir's third-quarter results bushed estimates. The institution foresees revenue of astir $1.33 cardinal for the existent quarter, outstripping the $1.19 cardinal expected by analysts, according to LSEG. Shares, however, fell 4.3% successful extended trading connected Monday evening stateside.

OpenAI signs a $38 cardinal woody with Amazon. Under the agreement, OpenAI volition instantly statesman running artificial quality processes connected Amazon Web Services, harnessing Nvidia's AI chips. Amazon shares popped 4% and closed astatine a record.

Microsoft gets support to vessel Nvidia chips to UAE. The U.S. Commerce Department license, granted successful September, allows Microsoft to ship 60,400 further A100 chips, involving Nvidia's precocious GB300 graphics processing units. Shares of Nvidia roseate 2.2%.

U.S. markets mostly rise. On Monday stateside, the S&P 500 and Nasdaq Composite advanced, boosted by tech shares. The pan-European Stoxx 600 ended flat. Auto stocks including Renault and Volkswagen rose.

[PRO] Growing risks to planetary equities. European banal markets deed highs past week. But determination are several factors that mightiness derail this upward trajectory, analysts say.