Nvidia's AI Investments Drive Global Market Rally

Asian markets saw mixed performance on Tuesday, with some indices rising to record highs while others fell. Taiwan's Taiex rose 1.42% to a record high, driven by a tech rally on Wall Street after Nvidia announced a partnership with OpenAI. Australia's ASX/S&P 200 and South Korea's Kospi also saw gains, while Hong Kong's Hang Seng Index and mainland China's CSI 300 fell. The Hong Kong market is bracing for a severe typhoon. US markets ended the day higher, with the S&P 500, Nasdaq, and Dow hitting new record highs. India tech stocks are expected to remain in focus due to a new visa fee announced by US President Donald Trump.

The article discusses Nvidia's investment of up to $100 billion in OpenAI, creating a 'virtuous cycle' for both companies. OpenAI plans to build data centers using Nvidia's AI chips, requiring 10 gigawatts of power and around 5 million graphics processing units. Other news includes Apple's iPhone demand, Trump's H-1B visa changes, and the US stock market hitting records. The article also touches on the potential US government shutdown and India's efforts to build a chip industry.

The article discusses Nvidia's investment of up to $100 billion in OpenAI, creating a mutually beneficial partnership. OpenAI plans to build data centers using Nvidia's AI chips, requiring significant power and millions of graphics processing units. Other news includes Apple's iPhone demand, Trump's H-1B visa changes, and the US stock market hitting records. The article also touches on the potential US government shutdown and India's efforts to build a chip industry.

European stocks are expected to rise following a record-breaking rally on Wall Street, driven by Nvidia's announcement to invest up to $100 billion in OpenAI. The news propelled Nvidia's stock 3.9% higher and pushed major U.S. indexes to new highs. Global investors are also reacting to developments in Sino-U.S. relations, with U.S. Ambassador to China David Perdue suggesting a potential meeting between U.S. President Donald Trump and Chinese leader Xi Jinping in early 2026. Taiwan stocks hit a record high overnight, while European traders will be monitoring various economic data releases, including manufacturing PMI data for Germany and the U.K.

Nvidia's potential $100bn investment in OpenAI raises questions about the incestuous nature of Silicon Valley and the AI industry. The investment would help OpenAI purchase 4m-5m Nvidia AI chips, deepening the relationship between the two companies. The article questions the consequences of such a large investment and the potential risks if OpenAI hits a roadblock. It also highlights the growing interdependence of major tech companies in the AI space.

Nvidia's $5 billion investment in Intel is seen as a strategic move to strengthen their partnership in the AI industry. The deal, announced at a press conference, highlights the growing collaboration between the two major American chipmakers. The article discusses the implications of this partnership and the increasing interdependence within the AI industry.