1. Taiwan Semi surges while Apple slumps.

Apple slides on disappointing iPhone data in China. The company is no longer the market share leader after its smartphone shipments fell 25% in the fourth quarter.

The world’s largest contract chip maker, Taiwan Semiconductor, surged back toward all-time highs after posting a robust fourth-quarter earnings beat. Net profit hit a record high, driven by robust artificial intelligence (AI) chip demand. Revenue jumped 38.8% YoY, while profit rose 57% YoY.

2. French assets never recovered from the hit sustained over six months ago, when President Emmanuel Macron called snap elections.

The CAC 40 and all sub-indices are underperforming several other major European benchmarks this year.

3. A Goldman Sachs basket of domestically-exposed French stocks is now trading below 8 times forward earnings.

“Stocks that are exposed to the French economy are excessively cheap, but as long as we have high political risk it is pointless to buy them,” says Arnaud Girod, head of economics and cross-asset strategy at Kepler Cheuvreux in Paris.

“The rest of the French stock market is dominated by luxury shares on which we are neutral given the trade war narrative.”

Still, there might be a silver lining for French luxury stocks after Swiss peer Richemont beat estimates big time. Big tech wins and a strong dollar are buying jewelry and watches, it seems.

4. The U.S. Dollar Against Major Currencies in 2024.

Let’s see, in the coming days, how the strong USD has impacted US earnings in the 4th quarter of 2024.

5. Valuation (Forward P/E) versus earnings growth (EPS).

US “exceptionalism” is backed by results, but is it sustainable long-term?

6. American exceptionalism?

7. Applied Materials breaks negative trendline with a strong rally.

More to come.

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