Major U.S. Averages Mostly Unchanged Near Noon
The major averages were mostly unchanged near noon on the penultimate trading day of the year as markets contend with light year-end volumes and a pullback in heavyweight tech and AI names that stalled last week's strong rally. Investors are also awaiting the release of the Federal Reserve's December meeting minutes and digesting recent economic signals that have fueled debate over the pace of future rate cuts.Looking to commodities, gold edged higher following yesterday's sharp losses, while oil is fractionally higher ahead of the API crude numbers set for release this afternoon.Get caught up quickly on the top news and calls moving stocks with this Midday Fly By.1. STOCK NEWS:Meta PlatformsAI startup Manus, with the Wall Street Journal reporting that Meta is paying over $2B for the businessApplied Digitalits cloud computing business with Ekso BionicsOn24by Cvent for $8.10 per share in cashCiti'sboard approved a plan to2. WALL STREET CALLS:ArgusBHP Groupto Buy on "firming" commodity pricesMereo BioPharmato Hold at JefferiesBenchmarkLindblad Expeditionswith a Buy on high growth visibilityStephensof Rubrik, Commvault, and AvePointwith Overweight ratings and Varonisat Equal Weight3. AROUND THE WEB:SMICintends to acquire the remaining 49% stake in unit SMNC for Y40.6B, or $5.79B, giving the company full control of the subsidiary,The U.S. government has granted Samsung Electronicsand SK Hynixan annual license to bring chip manufacturing equipment to their Chinese facilities for 2026,Power-hungry AI projects are benefiting Caterpillaras a range of customers looks to purchase the company's engines and generators,Softbankhas completed its $40B investment in OpenAI,Warner Bros. Discoveryis expected to reject the latest offer made by Paramount Skydance,4. MOVERS:Hycroft Miningincreases after filing aBoeinggains after being awarded afor the F-15 Israel Program and a ceiling $4.2B modification to a previously awarded Air Force contract for E-4B contractor logistic serviceEnergy Fuelsfalls after Roth Capital said shares of the companyTruth Medialower after Yorkville America launchedon the New York Stock Exchange5. EARNINGS/GUIDANCE:Ree Automotive, with EPS higher year-over-yearEtoiles CapitalCemtrexreported, with revenue higher year-over-yearAMTD IDEA Groupreported, with CFO Xavier Zee commenting, "We are proud to deliver another half year of strong performance"INDEXES:Near midday, the Dow was down 0.20%, or 98.77, to 48,363.16, the Nasdaq was down 0.04%, or 9.76, to 23,464.59, and the S&P 500 was down 0.06%, or 3.88, to 6,901.86.
Trade with 70% Backtested Accuracy
Analyst Views on META
About META
About the author

- Investment Scale: Meta is set to invest $65 million in 2023 to support state politicians favorable to the artificial intelligence industry, marking its largest election investment to date and indicating a growing emphasis on political engagement.
- New Super PACs Established: The company is quietly launching two new super PACs, one backing Republicans and the other supporting Democrats, aiming to leverage political influence to counter regulatory threats to the AI sector.
- Funding Flow and Utilization: Last year, Meta allocated $45 million to the American Technology Excellence Project, with expectations that these funds will flow into the newly established PACs, thereby enhancing the company's political clout.
- Initial Spending Plans: Meta's expenditures are set to commence this week in Illinois and Texas, primarily backing incumbent Democratic and Republican candidates, reflecting the company's strategic inclination to maintain the existing political landscape.
- Rate Policy Disagreement: The Federal Reserve's meeting minutes reveal divisions among officials, with some prioritizing labor market support over inflation control, indicating potential uncertainty in market expectations regarding future rate movements.
- Positive Market Reaction: Major U.S. indexes rose on Wednesday, driven by tech stocks, with Nvidia shares climbing after Meta announced it would utilize the chipmaker's next-generation systems, highlighting the tech sector's strong performance's positive impact on the overall market.
- Oil Price Surge: Oil prices jumped over 4% after U.S. Vice President JD Vance stated that Iran is not yet willing to acknowledge certain
- Market Reactions: Investors are responding positively to recent economic indicators, indicating a willingness to capitalize on any potential gains.
- Federal Reserve Influence: The current market behavior reflects a broader trend of data dependency among investors, similar to that of Federal Reserve officials.
- Investor Preferences: The ten most owned stocks on Robinhood include blue-chip stocks like Amazon, Apple, and Alphabet, indicating that investors are still focused on high-growth tech plays, even as they avoid more speculative stocks.
- Google's AI Potential: Google's Gemini generative AI platform is rapidly growing, with analysts expecting revenue and EPS to grow at CAGRs of 15% and 12% from 2025 to 2028, highlighting its strong potential in the digital advertising and cloud infrastructure markets.
- Amazon's Market Advantage: As the world's largest e-commerce and cloud infrastructure company, Amazon leverages AWS profits to expand its retail business, with analysts projecting revenue and EPS growth at CAGRs of 12% and 18% from 2025 to 2028, indicating robust future growth.
- Investment Recommendation: Analysts view both Alphabet and Amazon as evergreen stocks worth investing in, and Robinhood investors' choices reflect confidence in these stocks, especially amid current market volatility, showcasing their long-term investment value.
- Investor Preference: On the Robinhood platform, Alphabet and Amazon are the most favored stocks, each receiving 58 buy ratings, indicating strong investor confidence and reflecting market recognition of their long-term growth potential.
- Alphabet's Diversification: With a robust ecosystem that includes a search engine, cloud services, and a generative AI platform, Alphabet is expected to grow its revenue and EPS at CAGRs of 15% and 12% from 2025 to 2028, demonstrating its ongoing expansion capabilities in the digital advertising and cloud markets.
- Amazon's Market Leadership: As the world's largest e-commerce and cloud infrastructure company, Amazon's AWS business supports its retail operations, with projected revenue and EPS growth rates of 12% and 18% from 2025 to 2028, showcasing its potential in the rapidly growing AI market.
- Investment Value: Despite market volatility, analysts still view Alphabet and Amazon as evergreen stocks worth investing in, indicating that Robinhood investors are leaning towards stable blue-chip stocks rather than more speculative ones.

- Stock Performance: Amazon.com stock has experienced a challenging start to the year.
- Investment Opportunity: The current stock situation may present a buying opportunity for investors optimistic about the potential returns from significant spending on artificial intelligence.










