1. Much of the debate centres on whether AI companies are spending too much.

This forecast from JPMorgan puts global AI compute demand at roughly 530 GW by 2031. Projected supply? 250 GW. That leaves a 280 GW shortfall—even as supply potentially quadruples between 2025 and 2031. The projected gap would grow from around 50 GW today to nearly 280 GW.

2. AI use cases, measured by token consumption, is still growing exponentially.

3. And AI is boosting productivity….if there was ever any doubt about it.

4. Higher financing costs and cheaper compute are creating new hurdles for the S&P 500 rally as investors reprice the next winners and losers.

The winners are likely to be device makers, software companies and developers of more compute-efficient models. They benefit from cheaper, distributed inference, while data-center developers, especially neoclouds and other on-site solution providers dependent on persistently high utilization, face greater scrutiny.

Below: Cheaper open-weight models are leading.

5. Hermès at 4-year low after Q3 sales miss.

This is another bigger-than-expected slowdown in luxury, once again driven by Asia.

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