Wall Street: Berkshire Hathaway in focus, AI demand robust in tech sector

The Wall Street is starting the new week with caution. The focus is on the semiconductor manufacturer Intel with a planned capital increase of $15 billion, plus a possible over-allotment of $2.25 billion, which initially weighs on the stock due to dilution. The investment company Berkshire Hathaway reports an operating profit of $12.98 billion, which is 16 percent higher, and revenue of $101.8 billion.

However, the result strongly benefits from other income, while the insurance company GEICO is struggling. The cash balance falls to around $365 billion. At the same time, Berkshire bought back its own shares for around $4.5 billion. In the tech sector, demand for AI remains robust, chipmaker TSMC reports around 45 percent revenue growth for July, while Nvidia wants to invest up to $3 billion in the data center developer Lancium.

Geopolitically, the Strait of Hormuz remains a factor of uncertainty, and the oil price is rising accordingly. In the course of the week, consumer prices on Wednesday, producer prices on Thursday, and retail sales on Friday will be in focus. A podcast – featured by Handelsblatt.