What’s going on here?

OpenAI is pushing to remove the “non” from nonprofit – and that change of attitude might’ve been a bridge too far for some of the startup’s founders.

What does this mean?

OpenAI was founded as a nonprofit company to ensure that AI benefits all of humanity. But apparently, the greater good and making money can coexist. The startup’s in talks to restructure as a “public benefit corporation”: a for-profit type of company that’s required to balance money-making with positive societal impact. And in the process, CEO Sam Altman will grab a 7% stake. Although, it seems that decision may have been controversial. OpenAI’s higher-ups bolted the day the news broke, including the firm’s highly influential chief technology officer. After something of a mass exodus over the last year, that means Altman’s now one of only two founders left out of the original 11.

Why should I care?

For markets: The chips are… Up.

You can’t build multi-billion-dollar tech startups without the right chips – so much so that the order books of semiconductor companies can indicate how long the AI furor might last. And manufacturer Micron issued a surprisingly strong sales forecast this week, reassuring investors that firms are still shopping for anything AI. That sparked a significant rally in semiconductor stocks, with investors buying up shares of Micron, Samsung, SK Hynix, ASML, and Arm-owner SoftBank.

The bigger picture: Never let them know your first move – unless you work in tech.

OpenAI triggered rallies across tech stocks and existential crises across continents by introducing ChatGPT. But after setting the standard, the startup is now facing competition from rivals with serious sway. Amazon has tasked thousands of workers with creating cutting-edge AI products and making its Alexa even smarter. And Meta has finally doubled down on its metaverse vision, introducing augmented reality glasses that merge the digital world with the real.

What’s going on here?

China’s main stock index ticked up by 4%, after the country’s leaders seemed to finally take its real estate crisis seriously.

What does this mean?

China’s head honchos announced they’ll be dishing out support for property developers and homeowners after a surprise meeting on Thursday. That marks the first time the problematic property market has been targeted specifically by the country’s Politburo – its top officials – since the troubles started in 2020, even though it’s been one of China’s biggest economic problems for years. You can see why they felt the urge: recent data suggested that China’s economy would miss its 5% growth target this year.

Why should I care?

For markets: Many hands make light work.

China’s central bank had already announced plenty of policy changes on Tuesday, including lower interest rates. Economists didn’t think that’d cut it, though, saying the economy would also need fiscal support – think cash handouts – to get folk spending. And in what seems to be a coordinated approach, the Chinese government duly greenlit such measures on Thursday. Markets seemed to approve of the one-two: China’s main index picked up around 4% after the news, while related property stocks in Hong Kong jumped an average of 12%.

The bigger picture: Swings and roundabouts.

One surprise bled into another this week. Both oil and copper prices usually pick up when it seems the Chinese economy is headed in the right direction – but on Thursday, the duo took off on different paths. Copper prices rallied, as China accounts for nearly half of the metal’s global demand, while the slippery stuff fell for a second day. That’s because Saudi Arabia, the world’s second-biggest oil supplier, was reported to be considering increasing its output in December. And thanks to the classic rule of supply and demand, that’s put oil’s price on the slide since.