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American depositary receipts (ADRs) of Arm Holdings (ARM) are rising in premarket trading as the U.K. chip giant is reportedly working on plans to develop artificial intelligence (AI) chips, while its parent, Japan’s SoftBank Group (SFTBY), posted a near doubling of its net asset value and narrowing losses; Apple (AAPL) may be nearing a deal with OpenAI to put ChatGPT on iPhones; Chinese e-commerce platform Temu is reportedly pivoting out of the U.S. as growth slows and it looks to TikTok's troubles with the government; Microsoft (MSFT) and Amazon (AMZN) are among a slew of companies investing billions of dollars in France as part of President Emmanuel Macron’s push to draw international investors; and major investors such as Warren Buffett and Dan Loeb will give an insight into how their equity positions have changed as they release 13F filings by Wednesday. U.S. stock futures are little changed ahead of key data this week that may determine when interest rates are to be cut by the Federal Reserve. Here’s what investors need to know today.

ADRs of U.K.-based chip design giant Arm Holdings (ARM) are rising 4% in premarket trading after reported Sunday that the company plans to develop artificial intelligence (AI) chips, aiming to launch its first prototype in early 2025. According to the report, Arm—of which Japan’s SoftBank Group (SFTBY) owns a 90% stake—will establish a new AI chip unit and build a prototype by spring next year before turning to contract manufacturers to have the chips mass produced by fall 2025. Meanwhile, SoftBank reported a near doubling of its net asset value (NAV) due largely to the higher share price of Arm. The company said its net asset value grew to 27.8 trillion yen ($178.4 billion) as of March 31. It also reported a net loss of around 228 billion yen in the fiscal year ended March 31, narrowed from a loss of 970 billion yen the prior year.

Apple (AAPL) shares are up 1.3% in premarket trading as the tech giant is is reportedly closing in on a deal to use OpenAI’s technology on the iPhone, part of a broader push to bring AI features to its devices. The two sides have been finalizing terms for a pact to use ChatGPT features in Apple’s iOS 18, the next iPhone operating system, reported. Separate discussions by Apple with Alphabet’s (GOOGL) Google about licensing that company’s Gemini chatbot are continuing but haven’t led to an agreement, the report said. Meanwhile, OpenAI will hold an event Monday where it will announce improvements to its ChatGPT product.

Chinese e-commerce platform Temu is reportedly shifting business priorities beyond the U.S., with its slowing growth and TikTok’s troubles with Washington among catalysts for the pivot. Temu, owned by PDD Holdings (PDD), wants to limit risks and seek other sources of growth, according to , and is focusing on acquiring users in Europe and elsewhere. Because of that, the report said Temu now expects less than a third of its sales to come from the U.S. this year, compared with 60% last year.

Microsoft (MSFT) and Amazon (AMZN) are among a slew of companies investing billions of dollars in France as part of President Emmanuel Macron’s push to draw international investors. Microsoft said Monday that it is investing 4 billion euros ($4.31 billion) to build out AI, data-center and cloud infrastructure in France. Amazon said it would invest EUR1.2 billion to boost its AI presence and support the expansion of its logistics network to speed up deliveries. Microsoft shares are up less than 1% in premarket trading while Amazon is little changed.

Major investors such as Warren Buffett, Dan Loeb, and others will show how their equity positions changed from the beginning of the year to the end of March this week, with some trickling in today. Most large investors with assets under management (AUM) of $100 million or more are required to report their equity holdings each quarter via the Securities and Exchange Commission's (SEC) Form 13F, and the deadline for these filings for the March quarter is Wednesday. AI is once again a major trend to watch, as investors will keep an eye on changes to holdings. Berkshire Hathaway (BRK.A, BRK.B)  has already revealed that it trimmed its position in Apple (AAPL) and exited its position in Paramount Global (PARA) as it works to build up its cash reserves. 

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Tesla (TSLA) shares are likely to make their way onto watchlists Monday after the legacy EV maker launched a financing incentive on Friday evening for Model Y purchases in what appears to be the auto giant’s latest initiative to combat increasing competition and sluggish consumer demand.

According to the company’s website, it is offering a 0.99% annual percentage rate (APR) on qualifying Model Y purchases May 10th and May 31st. The incentive applies to 36, 48, 60 and 72-month financing terms, though the APR increases to 2.99% for 84-month financing. A week ago, the quoted rate for Model Y — Tesla’s best-selling vehicle — was 6.49% APR.

Discounted financing is a doubled-edged sword for automakers—on one hand it helps improve deliveries by stimulating demand, but at the same time automakers have to cover the cost of below-market interest rates.

Tesla’s latest financing initiative follows 18 months of select price reductions across its vehicle lineup in a bid to drive volumes to counter intense competition from Chinese automakers and waning consumer demand for EVs. In February, the company temporarily slashed the price of several Model Y vehicles by $1,000 in the U.S.

While price cuts helped the EV maker deliver 38% more cars last year compared to 2022, they have not had the same effect so far this year. In the first three months of 2024, the company delivered roughly 387,0000 units, down from around 423,000 vehicles in the same period a year earlier.

After forming a bear trap below the lower trendline of a descending channel in late April, Tesla shares staged an impressive recovery, with the price climbing to the upper portion of the pattern. However, the rally has lost traction in recent weeks, resulting in the price retracing back below the closely-watched 50-day moving average. If the stock can hold current levels, it raises the possibility that Tesla shares may be carving out an inverse head and shoulders bottoming pattern. 

Looking ahead, investors should monitor if the price can close above the formation’s neckline around $197, a move that would confirm the pattern and potentially mark the start of a new trend higher in the stock.

Tesla shares were up 0.3% to $168.90 in premarket trading at around 7:20 a.m. The stock has lost about one-third of its value this year.

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A high school teacher has been accused for allegedly raping a 16 year old student that attends a coaching academy where he teaches in Ilorin, Kwara State.

An online user recounted how the man had carried out the horrific act in the past but got away with it. A video of the culprit was also released, which shows him in custody of the Police.

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President Bola Tinubu has banned members of the Federal Executive Council, FEC, from purchasing petrol dependent vehicles.

The President has also directed the mandatory procurement of compressed-natural-gas-powered vehicles by all government ministries, departments, and agencies.

The Special Adviser to the President on Media and Publicity, Chief Ajuri Ngelale, disclosed this in a statement on Monday evening, May 13, 2024.

According to him, the directive is in line with Tinubu’s commitment to ensure energy security, drive utility, and cut high fuel costs.

He said the President’s directive is also in furtherance of Nigeria’s effort to transition to cleaner energy as CNG-enabled vehicles have been adjudged to produce lower emissions, even as they present a more affordable alternative for Nigerian energy consumers.

Addressing members of the Federal Executive Council (FEC) at the State House on Monday, President Tinubu affirmed that there is no turning back in the energy reforms initiated by his administration.

“This nation will not progress forward if we continue to dance on the same spot. We have the will to drive the implementation of CNG adoption across the country, and we must set the example as public officials in leading the way to that prosperous future that we are working to achieve for our people. It starts with us, and in seeing that we are serious, Nigerians will follow our lead,” the President stated.

“The President further directed the rejection of all memos brought by members of FEC seeking the purchase of traditional petrol-dependent vehicles, tasking the affected members of the council to go back and diligently seek value-driven procurements of CNG-compliant vehicles.

The President remains committed to effectively harnessing the nation’s gas potential, alleviating the burden of high transportation costs on the masses while enhancing the standard of living of all Nigerians,” the statement added.

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Shares in UK-based chip design giant Arm Holdings (ARM) will be in focus on Monday after reported Sunday that the company plans to develop artificial intelligence (AI) chips, aiming to launch its first prototype in early 2025.

According to the report, Arm—in which Japan’s SoftBank (SFTBY) owns a 90% stake—will establish a new AI chip unit and build a prototype by spring next year before turning to contract manufacturers to have the chips mass produced by fall 2025.

Arm will fund the majority of the initial development costs, expected to be billions of yen, with Softbank also contributing, the report said. Once up and running, the AI chip business could be spun off under SoftBank.

The Japanese financial giant has already commenced negotiations with Taiwan Semiconductor Manufacturing (TSM) and other chipmakers as it looks to sure up production capacity, reported.

Arm, which makes money by selling royalties on its chip designs, has continued its push into the lucrative AI datacenter market, where tech behemoths such as Microsoft (MSFT), Meta (META), Alphabet (GOOGL), and Amazon (AMZN) have announced plans to build their own in-house chips to power their AI computing requirements, helping to reduce their reliance on AI chip supplying giant Nvidia (NVDA).

Since going public in September last year, the company’s shares have more than doubled from their $51 initial public offering (IPO) price as investors place bets that the chip designer can capture a sizable slice of the AI infrastructure market. Precedence Research of Canada expects the AI chip market to grow from $30 billion this year to $200 billion by 2032.

The Arm share price has traded within a narrow rising wedge since mid April—a chart pattern technical analysts typically interpret as having a bearish bias because it indicates an easing of buying momentum. In the short-term, the price may continue to oscillate in the wedge until the downward sloping 50-day moving average catches up with the pattern’s top trendline before the stock makes its next significant move. 

Amid a move lower, investors should monitor the $79 level, an area where the price may find buyers near the February pre-breakout level. However, if the price climbs above the wedge, it’s worth keeping in mind that the stock could make another attempt at testing key overhead resistance near prior price action around $145.

Arm shares closed trading last week at $108.84, after gaining 5.1% during Friday's session.

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Nigerian senator representing Kano Central Senatorial District, Rufai Hanga has explained why he donated 2,000 clay pots and 10,500 yards of white cloth (called ‘Likkadani’ in Hausa) to the Muslim graveyards in his constituency.

Recall that the senator came under criticism when he donated the items to 15 local government areas in his senatorial zone last week.

However, reacting to the criticism, Hanga, who is the Deputy Minority Chief Whip of the 10th Senate and a member of the New Nigeria Peoples Party, said that he made the donation because he is seeking God’s mercy.

He said the donation was not part of his constituency project as widely reported.

In his first news conference since his election in 2023, Hanga stated that such a gesture was not new. He said it was something he had been doing even before his election.

He added that it was a family legacy he grew up seeing and inheriting, which he hoped to continue throughout his life.

According to DailyTrust, he said: “We made the donation to Kano state committee for the graveyards headed by Dangoribar Kano and district head of Tarauni Local government. We had found out that clay pots were lacking in most of our graveyards and decided to donate.”

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