SpaceX books $60bn Cursor deal as AI arms race escalates

American investors are rotating back into Japanese equities as Middle East war premium fades, according to Goldman Sachs flow data. US buyers added $2.3 billion to Japan-focused funds in the past fortnight, the largest inflow since October. The yen's recent stability around 155 per dollar has reduced currency hedging costs for dollar-based investors. Goldman expects this trend to accelerate if the Bank of Japan holds rates steady next week, keeping the carry trade attractive.

Memory semiconductor stocks trade at 47x forward earnings, sparking debate whether AI demand justifies valuations reminiscent of the dot-com peak. Samsung and SK Hynix have doubled since October, driven by enterprise AI server buildouts requiring high-bandwidth memory. The supercycle thesis assumes data center memory demand will triple by 2027, but supply additions from Chinese manufacturers could crater pricing. Investors betting on sustained margins face the same cyclical reality that has crushed chip stocks every five years for three decades.

Cochlear plunged the most in 30 years after cutting full-year profit guidance by 15 percent, citing slower hearing implant adoption rates in key markets. The Australian medical device maker blamed delayed surgeries and cautious patient spending on elective procedures. Revenue growth slowed to 3 percent in the latest quarter, well below the 8-12 percent range Cochlear maintained for the past five years. The guidance cut suggests post-pandemic healthcare normalization is taking longer than medical device companies anticipated.

Prominent crypto trader Li relocated his entire 20-person trading operation to Singapore, targeting Asia's wealthy families as institutional crypto adoption accelerates. The move reflects growing demand from family offices seeking digital asset exposure without direct custody headaches. Li's fund manages over $800 million in crypto strategies, primarily algorithmic trading and yield farming across DeFi protocols. Asian family offices allocated $12 billion to crypto strategies last year, double the 2022 figure, as regulatory clarity improves across the region.

Kevin Warsh rejected accusations he would be Trump's 'sock puppet' at the Federal Reserve, defending his potential nomination during Senate questioning.

Iran accused the US of violating international law after American forces seized an Iranian vessel in the Gulf of Oman, escalating maritime tensions.

Virginia voters delivered Democrats a significant win in redistricting battles, potentially reshaping multiple congressional races ahead of 2026.