​Microsoft's BlackRock AI Fund

Plus, Intuitive Machines' NASA deal.

September 18, 2024

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Today is Wednesday, September 18, 2024.

The Early Bird Index today is 70.60.

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​Microsoft's BlackRock AI Fund

The artificial intelligence race took another unexpected turn Tuesday with a new partnership involving Microsoft (Nasdaq: MSFT) and BlackRock (NYSE: BLK).

Details: Microsoft, BlackRock, and the investment company MGX formed the Global AI Infrastructure Investment Partnership fund on Tuesday to invest in AI data centers and energy infrastructure.

  • The new AI fund will launch with $30 billion, with plans to mobilize up to $100 billion over time.

  • Nvidia (Nasdaq: NVDA) also joins the partnership by offering its expertise in AI data centers.

Early Bird’s Nest Egg Gains: BlackRock is well-positioned to capitalize on the growing demand for AI infrastructure.

  • BlackRock estimates data centers alone may require up to $1 trillion in investment by 2030.

  • BlackRock is offering several investment products to capture AI-related opportunities.

Final Thoughts: BlackRock’s stock is up 13% this year, although there was no change in the stock price during after-hours trading when this AI fund announcement came out.

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Notables

Notable Earnings Today: General Mills (NYSE: GIS), Steelcase (NYSE: SCS), Sangoma Technologies (Nasdaq: SANG).

Notable IPOs Today: YHN Acquisition I Limited Unit (Nasdaq: YHNAU).

Notable Equity Crowdfunding Campaigns Ending Today: To Be Frank (Honeycomb), Capital City Sweets (Honeycomb), Vroom Solar (StartEngine), Reental (Republic), Handprint (Wefunder).

Notable Economic Events Today: Building Permits (8:30 a.m. ET), Housing Starts (8:30 a.m. ET), Crude Oil Inventories (10:30 a.m. ET), Fed Interest Rate Decision (2:00 p.m. ET), FOMC Press Conference (2:30 p.m. ET), TIC Net Long-Term Transactions (4:00 p.m. ET).

Intuitive Machines' NASA Deal

Space exploration company Intuitive Machines (Nasdaq: LUNR) jumped 55.58% (wow!) in after-hours trading on Tuesday after announcing a massive new contract with NASA.

Details: The contract, which has a maximum potential value of $4.82 billion, is for communication and navigation services.

Background: Intuitive Machines was already up 128% this year thanks to multiple positive developments, including the company landing on the moon.

Final Thoughts: Remember that the company is still not profitable at this point.

Bitcoin Jumps Before Potential Rate Cut

The price of Bitcoin jumped about 4% on Tuesday back to the $60,000 level in anticipation of a major interest rate decision by the Federal Reserve.

Deeper Meaning: Lower rates encourage investment in riskier assets, such as crypto.

Final Thoughts: While market sentiment is good for crypto today, there’s still some uncertainty. A few analysts are also bearish on the length of the current rally.

Taking a Bite out of Apple's Credit Business: JPMorgan in Talks With Apple to Take Over Credit Card From Goldman (Wall Street Journal)

Broad Crypto Rally: Why is XRP price up today? (Cointelegraph)

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The contents of Early Bird are intended for informational and entertainment purposes only. They do not constitute trade or investment recommendations and they are not financial or legal advice. Readers are encouraged to consult licensed professionals for personalized guidance regarding their financial or legal situations.