Oracle shares dropped 11% in premarket trading on Thursday, extending the previous session’s losses after the company reported quarterly results that underscored both the promise and the pressure of its accelerating cloud ambitions.

While adjusted earnings beat analyst expectations by a wide margin, revenue fell short, raising fresh questions about the sustainability of Oracle’s aggressive infrastructure build-out at a time when the company is taking on unprecedented levels of debt.

Revenue miss weighs on sentiment despite earnings beat

Oracle reported quarterly revenue of $16.1 billion, missing Wall Street’s estimate of $16.2 billion.

The shortfall came despite surging demand for artificial intelligence infrastructure and strong cloud services growth.

Adjusted earnings per share reached $2.26, far above the $1.64 expected and a notable increase from $1.47 last year.

Much of that gain, however, was driven by Oracle’s $2.7 billion sale of its stake in Ampere, which boosted pretax earnings by 91 cents per share.

Cloud revenue rose 34% year-on-year to nearly $8 billion, now accounting for almost half of the company’s total revenue.

The cloud infrastructure business — renting servers and computing power to customers — grew even faster, with a 68% jump in sales.

Meanwhile, Oracle’s legacy packaged software business declined 1% from a year earlier.

Despite the strong cloud momentum, the company’s guidance disappointed investors, triggering a deeper slide in the stock.

Oracle shares fell to $197.8 in early trading, down sharply from recent highs.

Other AI-linked names also came under pressure: Nvidia, Microsoft, CoreWeave and AMD all traded lower premarket.

Rising capital expenditure and debt levels raise red flags

Oracle’s expansion into cloud infrastructure has reshaped its financial profile.

The company has spent $35 billion on capital expenditures over the past 12 months, resulting in free cash flow losses of $13 billion.

Analysts say the shift to cloud — which carries lower margins than Oracle’s traditional software — is weighing on profitability.

Adjusted operating margin fell to 41.9% from 43.4% a year earlier.

The firm has increasingly relied on debt to support these investments.

Oracle raised $18 billion in a jumbo bond sale in September, one of the largest ever for the tech sector.

It has also secured billions in construction loans tied to new data centers in New Mexico and Wisconsin.

Citi analyst Tyler Radke estimates the company may need to raise $20 billion to $30 billion in debt annually over the next three years.

Credit markets have taken note: the price of Oracle’s debt has fallen, while credit default swap prices — a measure of default risk — have risen.

After briefly easing, swap prices began climbing again following the earnings release.

Cloud backlog grows but execution risks persist

Oracle’s multi-year backlog reached $523 billion, up $68 billion from the previous quarter, driven in part by the company’s massive contract with OpenAI.

The scale of that agreement, however, has drawn scrutiny given OpenAI’s substantial funding requirements.

Oracle shares have fallen 33% since concerns emerged about the feasibility of executing such commitments.

Analysts remain divided.

Some highlight the long-term opportunity from AI infrastructure demand, while others caution that heavy spending, rising leverage, and shrinking margins pose risks.

Oracle maintains it can fund its expansion while preserving its investment-grade credit rating.

Chief executive Clay Magouyrk said required financing would fall below the $100 billion some analysts have forecast.

As Oracle ramps up construction on Project Stargate — a multibillion-dollar push to build next-generation data centers — investors appear increasingly focused on whether the company can balance rapid cloud expansion with financial discipline.

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Dow futures declined over 100 points on Thursday as Oracle’s results reignited fears about high-flying tech stocks.

The futures tied to other Wall Street indices like the S&P 500 and Nasdaq were also trading in red even after the Federal Reserve’s latest interest rate cut gave a boost to US equity markets on Wednesday.

While the Fed’s accommodative stance provided temporary support on Wednesday, Oracle’s shortfall exposed underlying vulnerabilities in the tech complex.

5 things to know before Wall Street opens

1. The Federal Reserve delivered its third consecutive quarter-point rate cut on Wednesday, lowering borrowing costs to 3.5%-3.75%.

This move signals the central bank’s effort to support a weakening job market, though divisions run deep within the committee.

The decision came with a 9:3 majority, with two members voting for holding the interest rates, while Trump appointed Stephan Miran, voting for a broader cut.

Inflation remains sticky above the Fed’s 2% target, constraining future easing. Markets are pricing in just one additional cut for 2026, suggesting the cutting cycle is approaching its end.

2. Oracle’s premarket crash triggered a broader AI sector bloodbath Thursday morning.

The database giant plunged 11-12%, raising fresh doubts about whether lavish AI spending can justify sky-high valuations.

The damage rippled across the entire complex as Nvidia dipped 1.5%, CoreWeave tumbled 3%, and even chip-making peers Broadcom and AMD felt pressure.

What spooked investors wasn’t just Oracle’s missed revenue; it was management’s bombshell forecast that capex would surge to $50 billion annually, nearly $15 billion higher than expected.

3. After the Fed’s rate-cut decision, Wall Street is looking at the next set of key economic data.

Thursday’s economic calendar is packed with data that could reshape market sentiment.

Jobless claims headline the morning releases at 8:30 AM ET, with economists expecting claims to rise to 220,000 from 191,000 the prior week, a meaningful uptick that could signal labor market softening.

The trade deficit is projected to widen to $62.5 billion from $59.6 billion, reflecting persistent import demand despite tariff concerns.

4. Silver’s explosive run in 2025 isn’t slowing down.

The so-called “devil’s metal” surged to a record $62.88 per ounce this week, doubling in value since January as the market continues to grapple with a deep structural supply shortage.

Some industry veterans are calling for much higher levels and even predicting that silver could climb to $100 per ounce.

There’s plenty feeding the bullish narrative, like five straight years of supply deficits, rapidly rising demand from AI hardware and solar manufacturing, and a gold-silver ratio.

5. The global stocks experienced a whipsaw session on Thursday as gains from the Fed’s third rate cut evaporated after Oracle’s earnings disaster.

Japan’s Nikkei initially rose but closed down 0.9%, weighed down by SoftBank’s 5% plunge on AI concerns and yen strength pressuring exporters.

Hong Kong’s Hang Seng fared better, rising 0.8% in early trade, buoyed by tech recovery hopes.

Europe mirrored the tech carnage as STOXX 600 slipped 0.2% for a third consecutive loss as SAP fell 2.8% and ASML declined 1.2%, overshadowing relief from Powell’s hawkish-cut messaging.

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Drax Group announced on Thursday that it is considering converting a section of its Yorkshire power station in northern England into a data centre as early as 2027.

The project would repurpose land, cooling systems, and transformers that were previously used for coal generation, according to a Reuters report.

Europe’s landscape of energy infrastructure is on the cusp of a significant transformation, driven by the insatiable energy demands of the artificial intelligence boom.

Repurposing legacy infrastructure

Ageing coal and gas-fired power plants, once destined for decommissioning, are now attracting the attention of global tech behemoths like Microsoft and Amazon Web Services (AWS).

These companies are actively seeking to repurpose these legacy power generation sites into vast new data centres.

The primary appeal of these former power plants lies in their existing, robust infrastructure.

Crucially, they possess immediate, high-capacity grid connections, which are essential for powering the energy-intensive operations of modern data centres and their sophisticated cooling systems.

Furthermore, their location, often near major water sources, provides a ready-made and efficient supply for the considerable water-based cooling needs of these facilities.

This repurposing offers a dual benefit: it breathes new economic life into sites that might otherwise become industrial relics, and it helps technology giants rapidly scale their data centre footprint to keep pace with the explosion in AI-driven compute requirements.

This trend underscores a critical convergence point between the old industrial economy and the new digital economy, highlighting a pragmatic and sustainable way to leverage existing infrastructure to meet the unprecedented energy spike created by advanced AI applications and machine learning models.

Drax’s data centre strategy and capacity

Drax is planning a 100-megawatt data centre at its site, with a planning application currently being prepared.

The company aims to expand this capacity beyond 1 gigawatt after 2031 to meet the rapidly increasing British power demand, largely fueled by the rise of artificial intelligence.

“We would effectively provide the land and the power connection and the power working with a data centre developer,” Drax CEO Will Gardiner said in an interview to Reuters.

Due to the rapid expansion of data centres, companies are increasingly looking for sites that already possess power connections. This approach helps them bypass the long waiting times associated with connecting to the power grid.

Last month, RWE reported a book gain of 225 million euros ($263 million) following the sale of a former coal-fired power plant site in Britain to a data centre developer.

JPMorgan analysts said in a note on Drax’s plan.

While nothing has been agreed, we believe this is a more optimistic timeline than investors would otherwise expect.

Profit at top end

The power producer’s shares climbed over 2% following a forecast for 2025 core profit that is expected to be near the high end of market predictions.

This growth is driven by performance across its flexible generation, pellet production, and biomass divisions.

Drax aims to generate £3 billion in free cash flow between 2025 and 2031.

This cash flow is planned to be allocated for shareholder returns, with over £1 billion dedicated to this purpose, and up to £2 billion for funding growth investments.

The company is also shutting down its Williams Lake pellet plant in Canada and temporarily halting its Longview project.

This decision reflects an expectation not to invest in additional pellet production capacity in the near future.

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Microsoft’s Satya Nadella has drawn global attention during his India visit, not only for a major investment pledge but also for an unexpected personal project that links artificial intelligence with one of India’s most enduring sporting traditions.

While travelling, the chief executive spent his free time building a Deep Research AI app to study cricket, a sport he has followed since childhood.

He created it over the Thanksgiving break and used it to test how an AI system would analyse the skills and records of legendary players, reports Bloomberg.

He demonstrated the tool at a company event in Bangalore, where he showed how the app generated detailed reasoning chains and surfaced areas of agreement and disagreement when ranking players.

Nadella used it to choose an all-time Indian test cricket team, beginning with a captaincy decision that the system reached only after weighing various arguments.

The AI tool identified a close contest between Virat Kohli and Mahendra Singh Dhoni before selecting Kohli.

AI momentum in India

Nadella is spending the week meeting business and political leaders as Microsoft sets out a long-term plan for artificial intelligence and cloud computing in India.

The company has committed $17.5 billion over four years, states Bloomberg, marking one of its largest pushes in a rapidly growing technology market.

India’s position as the world’s most populous nation and its expanding base of digital services make it a key region for Microsoft’s broader AI strategy.

Microsoft’s chief executive has often highlighted India’s talent pool, particularly in engineering fields, and the company continues to build partnerships with local institutions.

His latest trip signals that India remains central to plans for AI innovation, infrastructure development and cloud expansion.

Cricket ties inside and outside tech

As per Bloomberg, cricket has long been a part of Nadella’s life, shaping both his interests and his engagement with the Indian diaspora.

He was born and educated in southern India before moving to the US for graduate studies, and the sport has remained a personal anchor throughout his career.

He is also a co-owner of the Seattle Orcas, a professional T20 team in the US, alongside other technology leaders.

These ties extend into Microsoft’s culture as well.

The company added a full cricket field during the redevelopment of its Redmond headquarters, an acknowledgement of the large number of employees of Indian origin and their enthusiasm for the sport.

Microsoft described the ground as one of the first purpose-built recreational cricket facilities to be included within a major corporate or community campus in the US.

AI meets tradition

Nadella’s decision to use his coding time to analyse a centuries-old sport has become a focal point during his visit, notes Bloomberg.

The experiment reflects an emerging trend among developers who are using AI not only for work but also to explore cultural interests and hobbies.

His demonstration showed how research-driven models can approach subjective sporting debates by tracing reasoning pathways and mapping areas of consensus.

Although built for personal use, the tool provided a practical example of how AI systems can handle complex decisions with transparent logic.

The audience in Bangalore saw how the app worked through each step, from comparing captaincy styles to evaluating long-term performance records.

Nadella’s focus on the model’s reasoning process tied the project back to Microsoft’s broader push for accessible, explainable AI tools.

As his meetings continue in India, the combination of a major national investment plan and a cricket-analysis experiment has shaped a distinctive narrative around the visit.

It highlights how AI is crossing into cultural spaces while remaining central to Microsoft’s strategic growth.

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The projected global crude oil surplus in the fourth quarter of 2025 has narrowed due to a halt in production, the International Energy Agency said on Thursday. 

Meanwhile, the forecast for global crude oil demand growth in 2025 has been scaled up by the IEA in its December Oil Market Report. 

The Paris-based agency’s December estimate suggests a reduced global oil surplus compared to its November report.

It now projects oil supply will exceed demand by 3.84 million barrels per day, a decrease from the 4.09 million bpd surplus previously estimated.

Overview

The IEA has increased its global oil demand growth projections for both the current and next year. 

This revision is attributed to an improved global economic outlook and the fact that “anxiety about tariffs having largely subsided.”

Conversely, the IEA anticipates a slight decrease in supply growth for 2025-2026 compared to earlier forecasts.

This expected slowdown is due to sanctions imposed on Russia and Venezuela impacting their oil exports.

The agency also foresees a continuing trend of “parallel markets” for some time. 

This situation involves an abundant crude oil supply existing simultaneously with tight fuel markets. 

The persistence of this dynamic is linked to limited spare refining capacity outside of China and the impact of new EU sanctions on Russian crude-derived fuel exports.

Bright demand outlook

IEA forecast that global oil demand will grow by 830,000 bpd in 2025 and by 860,000 bpd next year. 

The agency said:

Recent strength in US gas liquids demand has been largely offset by persistent weakness in Europe and accelerated substitution away from oil in power generation in the Middle East. 

This year’s gains are primarily driven by gasoil and jet/kerosene, which together account for half of the total increase, the agency said.

Conversely, fuel oil is seeing reduced demand due to competition from natural gas and solar energy in power generation. 

Looking ahead to 2026, petrochemical feedstocks are projected to become the dominant growth sector, with their share of growth expected to rise significantly from 40% in 2025 to over 60%, it said.

According to the IEA, economic confidence has been restored, thanks to a series of successful US trade agreements.

This follows a period earlier in the year when consumption was negatively impacted by tensions related to tariffs.

Sanctions hit supply

The IEA has revised its forecast for global oil supply growth next year, now expecting a rise of 2.4 million bpd, a slight decrease from its previous prediction of 2.5 million bpd.

Due to disruptions caused by sanctions, the IEA has lowered its projected output figures for OPEC+ producers for both 2025 and 2026.

According to the IEA, global oil supply dropped by 610,000 bpd in November compared to the previous month.

This decline was attributed to reduced output from Russia and Venezuela, both of which are facing sanctions.

The IEA reported that Russian export revenues reached their lowest point in November since the 2022 full-scale invasion of Ukraine.

Conversely, the IEA maintained its stable forecasts for non-OPEC+ output for both the current and next year, citing increased production primarily in the Americas, specifically the US, Canada, Brazil, Guyana, and Argentina.

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A federal judge has struck down President Donald Trump’s executive order that froze permitting for wind energy projects on federal lands and waters, calling the move unlawful.

The ruling lifts a nationwide pause that states and developers said jeopardized investments, jobs, and clean power targets across the United States.

US judge overturns Trump freeze on wind permits

• Court vacates order freezing federal wind permits nationwide.
• 17 states and DC sued, arguing economic and climate harms.
• Judge says policy shift lacked reasoned explanation under law.

What the court decided

On Monday, Judge Patti B. Saris of the US District Court for the District of Massachusetts vacated Trump’s 20 January executive order that halted leasing and permitting for wind projects, finding it “arbitrary and capricious” and contrary to law.

According to her decision, federal agencies failed to “provide a reasoned explanation for the change” when reversing course on wind approvals.

A prior ruling by Judge William Young had allowed the case to proceed against US Interior Secretary Doug Burgum under the Administrative Procedure Act, while dismissing claims against Trump and other cabinet officials.

The states’ constitutional claims were not allowed to move forward.

Who sued and why it matters

A coalition of 17 states and Washington DC, led by New York Attorney General Letitia James, challenged the order.

The group argued the administration lacked authority to halt permitting and that the freeze threatened state economies, energy mixes, public health, and climate goals.

• Arizona
• California
• Colorado
• Connecticut
• Delaware
• Illinois
• Maine
• Maryland
• Massachusetts
• Michigan
• Minnesota
• New Jersey
• New Mexico
• New York
• Oregon
• Rhode Island
• Washington state
• Washington DC

“We won our lawsuit and stopped the Trump administration from blocking an array of new wind energy projects,” James said, calling the ruling “a big victory in our fight to keep tackling the climate crisis.”

Massachusetts Attorney General Andrea Joy Campbell said the decision protects “hundreds of millions of dollars” the state has invested in offshore wind.

Project impacts and industry context

The lawsuit was sparked in part by a stop work order for Empire Wind 1, a major offshore project planned off New York.

The Interior Department later allowed that project to resume, but the broader permit freeze remained in place, according to court filings.

Empire Wind is designed to power 500,000 homes and is expected to be fully operational by the end of 2027, according to the project’s website.

Wind is the nation’s largest source of renewable electricity, providing about 10% of US generation, according to the American Clean Power Association.

Industry advocates said the ruling allows projects to be judged on their merits. Wind is “one of the most cost-effective ways to generate power,” said Marguerite Wells of the Alliance for Clean Energy New York.

Kit Kennedy of the Natural Resources Defense Council said the permit freeze had been “a devastating blow to workers, electricity customers, and the reliability of the power grid.”

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Consumer caution, shifting inflation expectations, political brinkmanship, and corporate resilience set the tone across Europe today.

UK spending data shows households tightening their belts, even as the Bank of England signals modest relief ahead from Reeves’ budget.

In France, Prime Minister Lecornu faces a knife-edge vote that could upend the 2026 social security plan.

And in the corporate world, Trafigura’s hefty dividend hike underscores how diversified trading houses are navigating a still-uneven economic landscape.

UK consumers pull back in November

According to new data from Barclays, UK households cut back on card spending in November, down about 1.1% compared to last year.

That’s actually the biggest drop since early 2021. Most of the pullback came from non-essentials like eating out, buying clothes, going to pubs, and entertainment, which pretty much signals that people are feeling cautious right now.

Pre-budget uncertainty and the ongoing squeeze from high living costs aren’t helping either.

Spending on essentials, like groceries, did grow a bit, but not enough to make up for the slowdown elsewhere. Even Black Friday, which usually gives retailers a solid bump, didn’t do much this time.

According to the BRC-KPMG numbers, retail sales in November grew only 1.4% overall, far below what many hoped for.

BoE sees budget easing inflation

The Bank of England says Chancellor Rachel Reeves’ new budget could knock about 0.4 to 0.5 percentage points off annual inflation for a year starting in Q2 2026.

Deputy Governor Clare Lombardelli shared this early analysis while speaking to the Treasury Committee, explaining that the drop mainly comes from policies aimed at lowering household energy bills and freezing rail fares.

This lines up pretty closely with the Office for Budget Responsibility’s earlier forecast, which also predicted a 0.4-point inflation dip in 2026/27.

If things play out that way, it could help the BoE reach its 2% inflation target a bit sooner, especially with CPI still sitting around 3.6%.

Lombardelli said the impact is modest but definitely “in the right direction.”

Still, how consumers react will be a big factor in what the Bank decides to do at its upcoming December 18 rate meeting.

France braces for budget clash

French Prime Minister Sébastien Lecornu is heading into a high-stakes vote on Tuesday as the National Assembly decides the fate of the 2026 social security budget, the plan that covers everything from healthcare to pensions to welfare.

With no majority in parliament, he’s trying to win over the Socialists by promising more funding for hospitals and delaying Macron’s controversial 2023 pension reform until 2027.

But that strategy could backfire. Center-right allies, including figures close to Edouard Philippe, are already warning that Lecornu is being too soft on fiscal discipline.

Meanwhile, the big opposition blocs are lining up against the budget: the far-right National Rally with its 140 MPs, the far-left France Unbowed with 71, plus the ecologists and communists who together hold 55 seats.

Lecornu needs 288 votes, and he’s nowhere near that on paper.

If the budget fails, France could be staring at a €30 billion shortfall, the collapse of the main fiscal plan, and a messy fallback to 2025’s rollover measures.

Trafigura lifts dividends despite profit dip

Trafigura is raising its dividend payout by a big 50%, bringing total dividends for the year to $2.9 billion, even though net profit slipped 3% to $2.67 billion in the year ending September 30, 2025.

Considering last year’s profit collapse of 60%, this year’s dip looks far more manageable. EBITDA held steady at $8.2 billion, though group equity inched down to $16.2 billion.

The company booked $843 million in impairments, including a $341 million write-down on assets such as Nyrstar’s Australian smelter.

It also set aside $708.9 million for the Mongolia fraud case, pushing total fraud-related losses to around $1.2 billion.

On the trading side, oil was a strong performer with volumes jumping 10% to 6.6 million barrels per day, while metals trading slumped 16%.

CEO Richard Holtum highlighted the numbers as proof that Trafigura’s diversified model is helping it stay resilient in a tough environment.

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Famed investor Jim Cramer says he “salutes” DaviCVSd Joyner after CVS Health (NYSE: CVS) raised its profit guidance for 2026 – reinforcing the new management’s turnaround plan is starting to bear fruit.

In a recent segment of CNBC, he praised the company’s chief executive of reshaping the narrative around CVS, which, under the previous management, was mired in concerns of shoplifting, check-out inefficiencies, and competition from Amazon.

CVS shares are pushing higher following the financial update – and are now up some 80% versus the start of 2025.

Why is Jim Cramer bullish on CVS shares?

On Tuesday, the former hedge fund manager especially cheered Joyner’s decision to de-emphasise CVS Health’s traditional retail footprint, which has long been a drag on performance.

“He isn’t planted to the front of the store, which is almost infinitesimal in the new plan”, – Cramer explained.

Under the previous management, the company’s front-of-store segment was plagued by theft and declining sales, raising questions about whether it can compete with rivals like Walgreens or fend off Amazon’s encroachment.

But Joyner has neutralised those concerns, focusing instead on CVS’s strengths in health insurance and wellness – a seismic shift that Cramer believes enabled the firm to confidently raise its earnings guidance today.  

A healthy 3.39% dividend yield makes CVS stock all the more attractive to own for 2026.

CVS stock is benefiting from Joyner’s turnaround plan

According to Jim Cramer, Joyner has repositioned CVS as a healthcare powerhouse rather than a struggling retailer.

By focusing less on the checkout line and more on healthcare services, he’s guided the giant toward stronger earnings visibility.

CVS is now being valued for its insurance and wellness segments, which provide recurring revenue and growth opportunities. The transformation, Cramer argued, will trigger multiple expansions over time.

All in all, under Joyner’s leadership, CVS has evolved into a “first-class healthcare company, maybe the only one we have,” Cramer concluded.

Wall Street seems to agree with his bullish view. The consensus rating on CVS shares currently sits at “overweight” with the mean target of about $93, indicating potential upside of another 17% from here.

Technicals warrant investing in CVS Health

CVS now sees its full-year earnings coming in between $7.0 and $7.2 per share – decisively above $7.16 a share that analysts had forecast.

From a technical perspective as well, CVS stock looks attractive heading into 2026. The surge on Tuesday morning saw it break above its 50-day moving average (MA), signaling continued upward momentum in the near-term.

What’s also worth mentioning is that options data for the healthcare stock is also currently skewed to the upside, with an expected move to north of $87 in the first quarter of the coming year.

Taken together, both technicals and fundamentals suggest CVS shares are relatively inexpensive to own and will likely push higher from here in 2026.

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China is tightening access to Nvidia’s most advanced AI chips even as the US approves exports.

Microsoft is making a record $17.5B bet on India’s AI future, and Australia has imposed an unprecedented nationwide social media ban for teens.

Meanwhile, Bitcoin is surging ahead of the Fed’s decision, setting the stage for a volatile week across crypto and markets.

A glance at the major developments on Tuesday.

China tightens access to Nvidia chips

China is planning to tighten access to Nvidia’s top-tier H200 AI chips, even though President Donald Trump has given the green light to their export.

Under the new rules, Chinese buyers would have to obtain regulatory approval and demonstrate that local alternatives are not good enough.

Trump announced on Truth Social that exports to “approved customers” will go ahead, but only under certain national-security conditions and with a 25% fee paid to the US.

He said this followed talks with President Xi Jinping, who reacted positively.

The move marks a shift from the Biden-era restrictions that tried to limit China’s ability to develop AI with military applications.

At the same time, Beijing is doubling down on its own chip industry with subsidies and tighter checks on imports.

Nvidia, which has been lobbying for looser rules, already sells a scaled-down H20 chip in China, though some in Congress aren’t thrilled about that.

Microsoft unveils $17.5B India AI push

Microsoft just made a huge announcement: it’s committing $17.5 billion to India, its biggest investment in Asia to date, to ramp up AI, cloud infrastructure, and digital skills over the next four years.

CEO Satya Nadella shared the news after meeting Prime Minister Narendra Modi, laying out three main focus areas.

First, scale: Microsoft is expanding its data center footprint in Chennai, Hyderabad, and Pune to support India’s fast-growing demand for cloud and AI services.

Second, skills: the company plans to train 20 million people in AI by 2030, aiming to build one of the world’s largest pools of AI-ready talent.

And third, sovereignty: Microsoft wants to strengthen India’s digital independence with more localized, secure cloud systems.

This new pledge builds on an earlier $3 billion commitment, bringing Microsoft’s total planned investment in India to $20.5 billion, a clear signal as competition heats up with Google and others in India’s booming tech market.

Australia bans social media for teens

Australia has just rolled out a world first: a nationwide social media ban for anyone under 16.

As of December 10, teens can’t access platforms like TikTok, Instagram, Facebook, YouTube, Snapchat, basically all the major apps, once the clock hits midnight.

The rules are strict, too. Platforms now have to shut down existing underage accounts and stop new ones from being created, using “reasonable measures” to verify age. If they don’t, they could face fines of up to A$49.5 million (about $33 million).

Prime Minister Anthony Albanese framed the move as a way to shield kids from addictive algorithms and harmful content.

Many parents have welcomed the decision, but tech companies and free speech groups aren’t exactly cheering as they argue it’s overreach and sets a worrying precedent.

And it’s not without legal pushback. Some teenagers are taking the issue to Australia’s High Court, saying the ban violates the country’s implied freedom of political communication.

Bitcoin soars ahead of Fed decision

Bitcoin jumped nearly 5% on Tuesday, climbing to $94,284 as traders grew more optimistic ahead of the US Federal Reserve’s interest rate decision.

The rally pushed BTC as high as $94,616 during the day, with a low of $89,792, and trading volume topping $63 billion, a sign that confidence is flowing back into the market after recent pullbacks.

Analysts say the surge is being driven by expectations that the Fed will hold rates steady, growing hopes for more crypto-friendly policies under the Trump administration, and strong institutional demand.

Bitcoin ETFs alone saw about $2.1 billion in inflows last week.

Ethereum also rode the positive sentiment, rising 3.5% to $3,450, while the overall crypto market cap reached $3.2 trillion.

Still, volatility is very much in play as everyone waits to hear what Fed Chair Jerome Powell has to say next.

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US stocks are holding near flat as Wall Street awaits the Federal Reserve’s final policy decision of 2025.

The S&P 500 is essentially unchanged, while the Nasdaq edged up modestly and the Dow slipped on weakness in JPMorgan Chase after the bank issued sobering expense guidance for 2026.

Traders are pricing in an 87-88% probability of a quarter-point rate cut on Wednesday, but the real market mover may be what Fed Chair Jerome Powell says about future easing.

Ahead of the Fed decision, Tuesday’s JOLTS report revealed a sharp drop in hires that’s muddying the inflation-versus-growth calculus.

US stocks at a glance: Positioning before the Fed

The S&P 500 is trading in a narrow range near 6,840–6,860, up roughly 17% year to date, even after recent profit-taking.

The Nasdaq is holding steady while financials bear the brunt of selling pressure.

JPMorgan’s shares fell sharply after CCB CEO Marianne Lake warned that the bank expects 2026 expenses of $105 billion, roughly 9% above analyst estimates.

Lake cited higher volume-related costs, strategic investments, and “the structural consequence of inflation” as drivers, a warning that may reverberate across the banking sector ahead of Q4 earnings season.

Volatility has ticked higher as traders hedge ahead of the Fed announcement.

The VIX, the market’s fear gauge, has climbed as demand for downside protection rises. Meanwhile, rate-sensitive sectors like utilities and consumer staples are bid, reflecting safe-haven positioning.

But the broader mood is cautious rather than panicked; this is classic consolidation before a major policy event.

Why labour market softness may give cover for a cut?

The October JOLTS report, released Tuesday, delivered mixed signals that complicate the Fed’s inflation-versus-growth juggling act.

Job openings held steady at 7.7 million, but hires plunged to 5.1 million, down from elevated levels in prior months.

The quits rate fell to 2.9 million, the lowest since August 2020, signaling that workers are less confident about finding better opportunities.

This combination of falling hires and quits suggests labor market momentum is slowing.

While job openings remain elevated, employers are apparently struggling to fill positions or choosing to hold hiring steady.

That cooling may give the Fed political cover for a rate cut by suggesting the economy needs support.

However, persistent job openings also hint that wage pressure could remain sticky, complicating the inflation picture.

Wednesday’s 2 PM ET announcement and Powell’s press conference will set the tone for year-end trading. If the Fed cuts as expected but sounds hawkish on 2026, expect volatility to spike and growth stocks to stumble.

A dovish surprise could reignite the rally toward 2025 highs. Until then, traders are in a wait-and-see mode.

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