The European Commission has accused Apple (AAPL) of violating the Digital Markets Act. NVIDIA (NVDA) shares continue to slide from last weekend after CEO Jensen Huang sold shares in the artificial intelligence (AI) darling. Broadcom (AVGO) is reportedly in talks with TikTok’s Chinese parent ByteDance to manufacture advanced AI chips amid rising geopolitical tensions with the U.S. Bitcoin (BTCUSD) is trading around $61,000, dragging down crypto-related stocks such as Robinhood Markets (HOOD), Coinbase Global (COIN), Marathon Digital Holdings (MARA), and Riot Platforms (RIOT). China has reportedly told Germany that European luxury car makers could benefit if Germany convinces the European Union to remove tariffs on Chinese electric vehicle (EV) exports. U.S. stock futures are rising following a start to the week in which the S&P 500 briefly hit the 5,500 mark and Nvidia briefly maintained its status as the world’s most valuable company. Here’s what investors need to know today.
1. Apple sued by EU for violating digital market law
The European Commission accused Apple (AAPL) of violating a recently enacted tech law by accusing the iPhone maker of violating rules for its App Store that prevent app developers from “freely directing consumers to other channels.” In its preliminary opinion, the European Commission said Apple had violated a sweeping new digital market law, the first company to be accused of failing to comply with the new law aimed at opening up tech companies’ businesses to greater competition. The Wall Street Journal Apple, which has been lagging behind in the AI ​​race, is reportedly in talks with rival Meta Platforms (META) about integrating its AI-generative models into the iPhone maker’s new system for AI technology, “Apple Intelligence.” Apple shares were little changed in premarket trading, while Meta shares were up less than 1%.
2. Nvidia stock price falls as CEO Huang sells shares before shareholder meeting
After artificial intelligence (AI) star NVIDIA (NVDA) briefly surpassed Microsoft (MSFT) to become the world’s most valuable company last Tuesday, the company’s shares slumped further, down more than 2% in premarket trading. SEC filings over the past few weeks have shown that CEO Jensen Huang has been selling shares in the company. Nvidia shares, which have soared 164% this year riding on investor enthusiasm for AI, will be in the spotlight this week ahead of its annual shareholders meeting on Wednesday. The chip designer also reportedly supplies its technology to Middle Eastern telecommunications giant Ooredoo.
3. Broadcom reportedly in talks with ByteDance to develop advanced AI chips
Broadcom (AVGO) is reportedly in talks with TikTok’s Chinese parent company ByteDance to make advanced AI chips, an unusual deal at a time when the U.S. is trying to restrict China’s access to cutting-edge semiconductors. Taiwanese semiconductor maker Taiwan Semiconductor Manufacturing Co. (TSM) plans to produce 5nm chips that comply with US export controls. Reuters, The talks were reported by ByteDance. Broadcom already supplies older-generation AI processors to ByteDance’s data centers. Broadcom shares were little changed in premarket trading.
4. Bitcoin continues to fall, dragging Robinhood and Coinbase down with it
Bitcoin (BTCUSD) continues to decline and is currently trading around $61,000. This is well below the record of over $73,000 it hit in March after the SEC approved an ETF based on the cryptocurrency’s sudden demand. Bitcoin continues to fall even as more sobering inflation data than expected boosted stocks across the board. Bitcoin’s decline has weighed on crypto-related stocks, with trading app Robinhood Markets (HOOD) down 1.3% in pre-market trading and crypto exchange Coinbase Global (COIN) down 3%. Bitcoin miners Marathon Digital Holdings (MARA) and Riot Platforms (RIOT) also fell about 3% each.
5. China suggests German cars could benefit as Beijing moves to block higher EV tariffs
China has told Germany that European premium car makers could benefit if Berlin persuades the European Union to remove tariffs on Chinese electric vehicle (EV) exports. Bloomberg report. Earlier this month, the EU announced plans to impose tariffs of up to 38.1% on imports of Chinese-made EVs, just weeks after the US announced it would raise import tariffs on Chinese-made EVs from 25% to 100% this year. China currently imposes a 15% tariff on passenger cars from the EU and has offered the German government the possibility of lowering current tariffs on large-engine vehicles in exchange for eliminating European import tariffs, the report said.
