Good morning, you're tuned into Markets Desk.
Arm's CEO is making headlines with a bold claim — that artificial intelligence could help cure cancer within our lifetimes. But he's flagging a real constraint: memory supply remains tight, and data center expansion in the United States is running into environmental opposition and resource shortages that could slow the industry's ambitions considerably.
Shifting to equities, Korean stocks have been one of the standout trades of the year, with the Matthews Korea Active ETF up roughly eighty percent year to date, driven largely by surging demand for AI chips. Analysts are watching closely, noting that while momentum remains intact, the fund carries a higher expense ratio than cheaper rivals, and volatility in the space is not to be dismissed.
Meanwhile in India, shares edged lower in early trade as a combination of escalating Middle East tensions and lingering uncertainty around Federal Reserve policy weighed on sentiment. The prospect of rates staying higher for longer is keeping investors cautious across emerging markets broadly, and Indian equities are feeling that pressure in the early session.
That's the tape. Markets Desk, signing off the floor.
