'Semiconductors Are The New Oil:' Wealth Manager Says Saudi Arabia's Need For Data Centers Is Nudging It Toward Historic US Talks
- Background of U.S. and Saudi Arabia Pact: Reports suggest the U.S. and Saudi Arabia are close to a significant agreement offering security guarantees to Saudi Arabia and potentially paving the way for diplomatic relations with Israel.
- Reasoning Behind Saudi Arabia's Interest: Saudi Arabia's interest in data centers and semiconductors, described as the "New Oil," might be driving its engagement in the rumored deal.
- U.S. Interests in the Deal: The U.S. aims for lower oil prices and a strategic win in the Middle East, leveraging potential control over semiconductor exports to Saudi Arabia.
- Tech Exports and Geopolitical Implications: The U.S. has previously restricted high-performance AI chip exports to countries like China, indicating a precedent for using tech influence in geopolitics.
- Saudi Arabia's AI Chip Purchases: Saudi Arabia and UAE have been acquiring Nvidia's high-performance chips for AI applications, with Saudi alone reportedly purchasing thousands of these chips.
Trade with 70% Backtested Accuracy
Analyst Views on KSA
About the author
A Clash with Iran Could Impact More Than Just Oil Prices—There's Much at Stake.
- Trump's Deadline: President Donald Trump has set a deadline for Iran to negotiate a nuclear deal.
- Market Concerns: Investors are on alert for potential U.S. military actions that could lead to conflicts impacting various markets, including oil and technology stocks.
Saudi Arabia increases its investment pledge in the U.S. to $1 trillion
Investment Increase: Crown Prince Mohammed bin Salman announced that Saudi Arabia will raise its investment in the U.S. from $600 billion to $1 trillion, a commitment initially made during President Trump's visit to Riyadh in May.
Market Reaction: Following the announcement, U.S. stocks showed a positive response, recovering some losses, although the market was still on track for a four-day losing streak amid prevailing risk-off sentiment.
iShares MSCI Saudi Arabia (KSA) Shares Surpass 200-Day Moving Average
Stock Performance: KSA's stock has a 52-week low of $36.36 and a high of $43.4198, with the last trade recorded at $40.15.
Market Insights: The article mentions other ETFs that have recently crossed above their 200-day moving average, indicating potential market trends.
Saudi Arabia signs mutual defense agreement with nuclear-capable Pakistan
Mutual Defense Agreement: Saudi Arabia and Pakistan have signed a mutual defense agreement, stating that any aggression against either nation will be viewed as an attack on both, following recent tensions in the region.
Historical Context and Implications: The agreement reflects a long-standing defense relationship between the two countries and is not a direct response to specific events, although it raises concerns for India's national security and regional stability.
WeRide Secures Historic Robotaxi Permit In Saudi Arabia
WeRide's Milestone in Saudi Arabia: WeRide Inc. has become the first company to receive a permit for operating driverless taxis in Saudi Arabia, launching a pilot Robotaxi service in Riyadh with plans for full commercial rollout by the end of 2025.
Global Expansion and Partnerships: The company has also secured regulatory approvals in Shanghai and Singapore for its autonomous services, enhancing its presence in multiple international markets while collaborating with major partners like Uber and Chery Group.
Saudi hospital operator SMC sees strong demand in $500M IPO
IPO Demand and Valuation: Specialized Medical Co. in Saudi Arabia successfully attracted full investor demand for its $500 million IPO, floating a 30% stake at a valuation of up to $1.7 billion, with strong interest from institutional investors despite global market volatility.
Healthcare Sector Growth: The IPO aligns with Saudi Arabia's Vision 2030 economic reform plan aimed at enhancing healthcare services, as SMC plans to expand its operations in Riyadh amidst an active IPO pipeline in the region, including other significant healthcare listings.
A Clash with Iran Could Impact More Than Just Oil Prices—There's Much at Stake.
- Trump's Deadline: President Donald Trump has set a deadline for Iran to negotiate a nuclear deal.
- Market Concerns: Investors are on alert for potential U.S. military actions that could lead to conflicts impacting various markets, including oil and technology stocks.
Saudi Arabia increases its investment pledge in the U.S. to $1 trillion
Investment Increase: Crown Prince Mohammed bin Salman announced that Saudi Arabia will raise its investment in the U.S. from $600 billion to $1 trillion, a commitment initially made during President Trump's visit to Riyadh in May.
Market Reaction: Following the announcement, U.S. stocks showed a positive response, recovering some losses, although the market was still on track for a four-day losing streak amid prevailing risk-off sentiment.
iShares MSCI Saudi Arabia (KSA) Shares Surpass 200-Day Moving Average
Stock Performance: KSA's stock has a 52-week low of $36.36 and a high of $43.4198, with the last trade recorded at $40.15.
Market Insights: The article mentions other ETFs that have recently crossed above their 200-day moving average, indicating potential market trends.
Saudi Arabia signs mutual defense agreement with nuclear-capable Pakistan
Mutual Defense Agreement: Saudi Arabia and Pakistan have signed a mutual defense agreement, stating that any aggression against either nation will be viewed as an attack on both, following recent tensions in the region.
Historical Context and Implications: The agreement reflects a long-standing defense relationship between the two countries and is not a direct response to specific events, although it raises concerns for India's national security and regional stability.
WeRide Secures Historic Robotaxi Permit In Saudi Arabia
WeRide's Milestone in Saudi Arabia: WeRide Inc. has become the first company to receive a permit for operating driverless taxis in Saudi Arabia, launching a pilot Robotaxi service in Riyadh with plans for full commercial rollout by the end of 2025.
Global Expansion and Partnerships: The company has also secured regulatory approvals in Shanghai and Singapore for its autonomous services, enhancing its presence in multiple international markets while collaborating with major partners like Uber and Chery Group.
Saudi hospital operator SMC sees strong demand in $500M IPO
IPO Demand and Valuation: Specialized Medical Co. in Saudi Arabia successfully attracted full investor demand for its $500 million IPO, floating a 30% stake at a valuation of up to $1.7 billion, with strong interest from institutional investors despite global market volatility.
Healthcare Sector Growth: The IPO aligns with Saudi Arabia's Vision 2030 economic reform plan aimed at enhancing healthcare services, as SMC plans to expand its operations in Riyadh amidst an active IPO pipeline in the region, including other significant healthcare listings.
