Major indices are higher with Technology (XLK) doing the heavy lifting. Neocloud names got a sentiment boost after CoreWeave (CRWV) results did not add further worries to the narrative that has faced extreme volatility over the past month. Semiconductors are seeing strong action with Nvidia (NVDA) rebounding and higher for the first time since the CEO Jensen Huang news. The stock is still down about 14% month-to-date and has lost around $700 billion in market value.

On the other hand, Health Care (XLV) is the weakest performer after offering refuge from the recent volatility. Weakness in managed care names is offsetting the good performance in biotechnology names.

The positive results from CoreWeave (CRWV) are fueling the strong performance in AI-related names. Last night, Korea Customs Service announced exports rose 111.9% from the same period last year to the highest ever for the first 10 days of November, with semiconductor exports up 331.2%.

Consequently, memory names are rebounding with the memory ETF (DRAM) erasing most of November’s losses.

New AI Model

Google (GOOG/L) has been testing a new artificial intelligence model called Hydrogen internally. This comes after the recent launch of Google’s Gemini 4 Argon and Carbon models which are currently limited to paying users.

Buy the Dip

There was a strong divergence between institutional and retail investors in early November. While retail clients were net sellers, institutional clients aggressively bought the dip.

Economic Data

Purchase mortgage applications rose 7.5% last week as the 30-year fixed rate declined for a fourth straight week to 7.21%, down from 7.5% in early October.

• Total Applications +6.2%, biggest gain since early June
• Refinance Applications +4.5%, third consecutive gain
• Purchase Applications -18% YoY