SATURDAY NIGHT LIVE -- Episode 1 -- Aired 09/28/1991 -- Pictured: (l-r) Chris Farley as Todd O'Connor, Robert Smigel as Carl Wollarski, Mike Myers as Pat Arnold during "Bill Swerski's Super Fans" skit

Enjoying da bull run with chips (Raymond Bonar/Getty Images)

Chipmakers power stock gains

TSMC’s blowout earnings fueled a return to the AI trade.

The S&P 500 and Nasdaq 100 rose as TSMC’s blowout quarter, guidance, and capital expenditure plans lifted AI-adjacent stocks. The Russell 2000 rose 0.9%, outperforming the S&P 500 for the 10th consecutive session, the longest winning streak for small-caps since 1990.

Financials rose following earnings from Morgan Stanley, which beat earnings and revenue expectations, and Goldman Sachs, whose stock also rose as profit topped Wall Street’s estimates, though revenue came in below expectations. Energy was the worst-performing sector as President Trump’s softer position on Iran intervention sent energy stocks lower.

Stocks that moved higher:

Talen Energy soared after the Houston-based utility said it had bought power plants in the massive PJM exchange, which has seen rising consumer prices linked to AI infrastructure.
Clearway Energy surged after signing power purchase agreements with Alphabet.
Beyond Meat rose on its plans to enter the beverage category with a protein seltzer.
Healthcare stocks Oscar Health, Molina Healthcare, Centene, and UnitedHealthcare ticked higher as the ACA enrollment deadline arrived with Congress still at an impasse over subsidies.
US airlines Delta Air Lines, American Airlines, JetBlue, United Airlines, and Frontier Airlines climbed as oil plunged.

Stocks that moved lower:

Eli Lilly dipped after a report that FDA approval of its weight-loss pill is delayed to Q2. The pharma company was also in the news as a lawsuit from Strive Specialties, one of the largest compounding pharmacies in the country, accused Eli Lilly and Novo Nordisk of locking up telehealth companies they partner with in an effort to cut off businesses like them from the GLP-1 market.
Strategy fell as TD Cowen lowered its price target on the stock but maintained a “buy” rating.

Max Knoblauch4h

US airlines climb as oil plunges following Trump’s softer position on Iran intervention

West Texas Intermediate crude futures were down around 4.7% Thursday afternoon as President Trump appeared to soften his stance on further US strikes against Iran.

That sent US airline stocks climbing as investors priced in lower fuel costs. Shares of United Airlines, Delta Air Lines, and American Airlines all rose about 3% on Thursday. Earlier this month, airline stocks were boosted when investors appeared to price in some medium-term relief on the possibility of Venezuela’s reserves becoming more developed.

Luke Kawa6h

TSMC’s blowout quarter, guidance, and capex plans send AI to the sky

TSMC’s stellar Q4 results, bright Q1 guidance, and willingness to spend way more on capital expenditure than analysts had anticipated this year are giving a big jolt to the AI trade.

“We believe the strong 1Q26 guidance has likely surprised many investors to the upside,” wrote Needham analyst Charles Shi, who boosted his price target on the stock to $410 from $360 in the wake of these results. “Solid CapEx guidance should also lead to even stronger wafer fab equipment (WFE) outlook for 2026 and beyond.”

Beyond TSMC, the results are boosting other stocks tied to AI:

ASML, the Dutch lithography specialist that sits at a key choke point in advanced chip design.
Memory storage stocks Western Digital, Sandisk, and Seagate Technology Holdings.
Neoclouds CoreWeave and, to a much lesser extent, Nebius.
Server companies Super Micro Computer and Dell.
AI chip stocks Nvidia, Broadcom, and Advanced Micro Devices, as well as memory chip specialist Micron.

No single quarter of corporate earnings or guidance is sufficient proof against (or in favor of!) any kind of AI bubble, particularly when the biggest drivers of capex have consistently said the risk is spending too little rather than too much.

But TSMC is keenly aware of the potential downside of overextending itself into a future air pocket in demand, and has engaged in long-term planning and channel checks downstream to better understand the market for its products.

If TSMC’s capex plans aren’t executed well, it would be a “big disaster” for the company, CEO CC Wei said on the conference call.

But engaging with customers over their production needs for new wafers is being done “at least two to three years in advance,” he added.

“I spent a lot of time in the last three, four months talking to my customers and then my customers’ customers” to make sure that demand is real, said Wei, who came away “quite satisfied with the answer” and was shown “the evidence that the AI really helped their businesses.”

Matt Phillips7h

Talen soars on new power plant purchases in giant grid feeding Data Center Alley

Talen Energy soared early Thursday after the Houston-based utility said it had bought power plants in the massive PJM exchange, which has seen rising consumer prices linked to AI infrastructure.

The Wall Street Journal reported Monday on how the run-up in prices has been a growing political headache for data center developers.

Yesterday, PJM cut its forecast for peak summer of 2027 demand, suggesting that data center electricity demand going forward may have been overstated.

But Talen’s purchase of natural gas-fueled plants — one in Indiana and two in Ohio — for $3.45 billion in cash and stock suggests the company remains bullish on the AI build-out, especially within the 13-state PJM grid. The nonprofit power grid serves 67 million people from New Jersey to Kentucky, and includes key areas of relatively high data center density such as Ohio and Virginia.

Early Thursday, Talen shares were up by the most since last July. This reaction to the latest in a string of acquisitions suggests Talen executives have an incentive to stay on offense.

Talen Energy Continues Portfolio Expansion with Acquisition of Additional High-Quality PJM Natural Gas Assets from Energy Capital Partners

The Wall Street Journal reported Monday on how the run-up in prices has been a growing political headache for data center developers.

Yesterday, PJM cut its forecast for peak summer of 2027 demand, suggesting that data center electricity demand going forward may have been overstated.

Early Thursday, Talen shares were up by the most since last July. This reaction to the latest in a string of acquisitions suggests Talen executives have an incentive to stay on offense.

Max Knoblauch7h

Spotify increases its US subscription prices for the third time in 3 years

The cost to stream music and podcasts ad-free on Spotify is going up again in the US next month, marking the third price hike by the company since 2023.

The monthly cost of individual premium plans will increase from $12 to $13, while family plans will jump from $20 to $22. Spotify last raised US prices in July 2024 (and 2023 before that). This is the first price hike under the tenure of new co-CEOs Gustav Söderström and Alex Norström, who together replaced Daniel Ek earlier this month.

Spotify shares climbed about 3% after the market opened on Thursday, but has since fallen in early trading.

When it reported third-quarter earnings in November, the streamer said its global paid subscriber count had climbed to 281 million — 12% year-over-year growth. At the same time, ad-supported revenue fell 5.5% despite an 11% jump in monthly active users.

J. Edward Moreno7h

ACA enrollment deadline arrives with Congress still at an impasse over subsidies

The deadline to enroll in Affordable Care Act coverage has arrived with lawmakers yet to reach a deal to help keep millions of their constituents on their healthcare plans.

The Biden-era enhanced subsidies have now expired and lawmakers have yet to agree on what, if any, assistance could be provided going forward, with premiums expected to skyrocket. Americans have until Thursday to enroll in coverage for 2026.

The biggest providers of ACA Marketplace plans, like Oscar Health, Molina Healthcare, Centene, and UnitedHealth dipped as the enrollment deadline passed.

A solution reached after Thursday may be harder to implement considering many people have already forgone coverage. About 22.8 million people enrolled in ACA plans as of January 3, according to data released on Monday by the Centers for Medicare & Medicaid Services, down from 24.3 million in 2025.