Big Techs Rise. ASML Jumps 5% to New High; Tesla, Palantir up About 4%; Amazon, TSMC up over 2%

Tiger Newspress
Jan 05

Big tech stocks rose in premarket trading as investors looked through the geopolitical developments ahead of a packed week of economic data releases.

ASML jumped 5% to new high; Tesla, Palantir up about 4%; Amazon, TSMC up over 2%.

Investors are assessing the repercussions of a dramatic weekend in which the U.S. captured Venezuelan President Nicolas Maduro and U.S. President Donald Trump said he was putting the South American nation under temporary American control.

Trump told reporters on Sunday he could order another strike if Venezuela does not cooperate with U.S. efforts to open up its oil industry and stop drug trafficking. He also threatened military action in Colombia and Mexico.

"The removal of Venezuelan President Nicolas Maduro by the U.S. is unlikely to have meaningful near-term economic consequences for the global economy," said Neil Shearing, group chief economist at Capital Economics. "But its political and geopolitical ramifications will reverberate."

"Given the unexpected turn of events in Venezuela over the weekend, it remains to be seen whether the Trump administration has an appetite for more regime changes," such as in Iran, said Vasu Menon, managing director for investment strategy at OCBC in Singapore.

"The strategic calculations are unfolding against the backdrop of a midterm election year, and developments are unpredictable," he said. "This uncertainty could keep oil prices supported. A more fraught geopolitical environment may buoy haven assets like precious metals."


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