Technology investors who want to build their position in the largest firms may trade Amazon (AMZN) today. The firm is in talks with Italy to invest billions of euros to expand its data center business in the country.
Corporations typically choose from Amazon’s AWS, Google (GOOG) Cloud, and Microsoft (MSFT) Azure. Amazon needs to advance its AWS offering that help customers in their digital transformation.
Among the former glory firms, watch Nokia (NOK) continue its breakout. The firm is reportedly about to win a contract with MEO, a Portuguese telecom operator. If it gets the deal, Nokia would supply 5G radio equipment. Currently, China’s Huawei is MEO’s supplier for Radio Access Network (“RAN”), 2G, 3G, and 4G equipment.
In May 2019, the U.S. banned firms in the country from using Huawei equipment. It added the firm to a Security Entity List.
Chinese technology stocks may pull back. After staging a strong rally, firms like PDD (PDD), Baidu (BIDU), Alibaba (BABA), and Tencent (TCEHY) may fall on profit taking. S&P Global reported on May 27, 2024, that China’s property stimulus adds risks for its smaller cities.
Chinese tech stocks rose on optimism the property stimulus would succeed in ending the real estate pricing slump.
In the AI sector, watch suppliers like Nvidia (NVDA), Super Micro Computer (SMCI), and Microsoft rise. Elon Musk’s company, xAI, has a $24 billion valuation after it raised $6 billion in series B funding.
