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On May 2nd, officials from Japans Ministry of Economy, Trade and Industry confirmed that an oil tanker carrying Russian crude oil would arrive in Japan that day. This marks Japans first purchase of Russian crude oil since the deterioration of the situation in the Middle East. Sources indicated that this oil purchase is not subject to economic sanctions imposed on Russia by the United States and Europe.According to the Wall Street Journal, the Trump administration terminated its bailout plan for Spirit Airlines on Thursday. Commerce Secretary Rutnick has referred Spirit Airlines CEO to the Department of Transportation for assistance in ending the airlines operations.On May 2nd, Apple raised the starting price of its Mac Mini from $599 to $799 to address inventory shortages and tight chip supplies driven by demand for artificial intelligence. The company effectively implemented the price increase by eliminating the entry-level configuration. The previous entry-level model featured the M4 chip and 256GB of storage; the new starting model retains the same chip but with 512GB of storage. The M4 Pro models starting price remains unchanged at $1399. The $599 configuration is no longer available as it is sold out at most retailers. Other configurations will take weeks or months to ship from the Apple online store and are also in very limited supply at Apple retail stores.1. SpaceXs IPO filings show that the first batch of next-generation, more powerful Starlink V3 satellites are scheduled for launch in the second half of the year. 2. GameStop may submit an acquisition offer for eBay as early as this month. 3. Spirit Aerospace is expected to cease operations around 3 a.m. ET on Saturday. 4. The U.S. Department of Defense has reached agreements with seven AI companies. 5. Apples (AAPL.O) market capitalization increased by $200 billion in a single day. 6. SanDisk shares rose more than 8%, with multiple institutions significantly raising their target price for SanDisk, some by as much as double to $2,000. 7. Nebius has agreed to acquire Eigen AI. 8. Bank of America: Global hyperscale cloud computing companies AI capital expenditure may reach $1 trillion by 2027.① Iran 1. Irans Supreme Leader: The current stage requires promoting "economic resistance." 2. Iranian sources: Iran still deeply distrusts the United States. 3. The US claims its attack on Iran was "self-defense," Iran denounces it as blatant aggression. 4. Iranian Parliament Speaker Ghalibaf: The day of reconstruction after defeating the hostile superpower is approaching. 5. Irans Tasnim News Agency reports that, contrary to the White Houses baseless claims, there are currently no signs that oil storage capacity is about to run out. 6. According to Iranian media reports, an explosion of unexploded ordnance left over from war occurred in northwestern Iran, resulting in the deaths of 14 members of the Iranian Revolutionary Guard. 7. US media: Iran is considering using dolphins carrying mines to attack US warships. 8. Iran says its Supreme Leader is in good health. ② United States 1. The USS Ford aircraft carrier has left the Middle East. 2. Israeli media: The US is "about to decide" whether to restart military action against Iran. 3. Trump hints he will not seek congressional approval for continued military action against Iran. 4. Trump told the US Congress that the conflict with Iran was over, circumventing the war authorization process. 5. According to Axios: The US Department of Defense estimates that the US blockade has cost Iran $4.8 billion. 6. Bessant: The blockade will continue until Iran restores its pre-war freedom of navigation. 7. US media: 16 US military facilities in 8 Middle Eastern countries were damaged in Iranian attacks. 8. The US State Department approved arms sales to four Middle Eastern countries, including Israel. 9. The US Secretary of Defense ordered the withdrawal of 5,000 troops from Germany; the withdrawal will be completed within the next 6 to 12 months. 10. The White House formally informed Congress that although US troops remain in the region, the US considers the conflict with Iran to be over. ③ Israel 1. The Israeli military: has destroyed Hezbollahs command headquarters and military buildings in southern Lebanon. 2. Israeli officials: The Israeli military considers the removal of Iranian enriched uranium a "key factor" to the success or failure of the war. ④ Strait of Hormuz 1. The US warned shipping companies that even paying passage fees in the Strait of Hormuz under the guise of charity could expose them to sanctions. 2. TankerTrackers: The number of oil tankers diverting to Iran continues to increase. 3. U.S. Central Command: U.S. forces continue to enforce the naval blockade against Iran. Currently, 45 merchant ships have been instructed to turn back or return to port. 4. Iranian Revolutionary Guard: Will make the Strait of Hormuz a "source of security and prosperity." 5. Iranian Revolutionary Guard: New regulations for the management of the Persian Gulf have been established and will be implemented in accordance with the Supreme Leaders historic directive. 6. U.S. military uses AI technology to clear mines in the Strait of Hormuz. ⑤ Ceasefire Negotiations 1. Saudi media: Iran agrees to discuss nuclear issues and a long-term freeze on uranium enrichment. 2. U.S. media: Iran relaxes conditions for resuming peace talks with the U.S. 3. Trump says progress has been made in the Iran negotiations, but it is not enough. 4. Trump says he is "dissatisfied" with Irans latest proposed negotiation plan. 5. Iranian Foreign Minister Araqchi: If the U.S. changes its excessive attitude, threatening rhetoric, and provocative behavior, Iran is willing to continue to advance the diplomatic process. 6. White House: (When asked about Irans proposal to Pakistan) We will not disclose details of private diplomatic dialogues; negotiations are ongoing. ⑥ Other situations: 1. Trump claimed the U.S. has more weapons in stock than ever before. 2. Trump said he "might" travel to France for the G7 summit.

Samsung Elec announces a higher Q2 profit owing to solid server-chip demand

Charlie Brooks

Jul 07, 2022 11:18


Samsung Electronics (OTC:SSNLF) Co Ltd announced its greatest April-through-June profit since 2018 with an 11 percent year-over-year gain, as demand for its memory chips from server customers more than offset decreased sales to smartphone manufacturers due to inflation.


The world's leading memory chip and smartphone manufacturer stated Thursday that its second-quarter operating profit grew to 14 trillion won ($10.73 billion) from 12.57 trillion won a year earlier.


It was quite close to Refinitiv's SmartEstimate of 14,45 trillion won.


In agreement with market estimates, Samsung (KS:005930) announced in a short earnings report that sales likely climbed by 21 percent year-over-year to 77 trillion won.


This month, Samsung will provide detailed financial results.


Large U.S. IT companies that rely heavily on data center services continued to acquire chips to meet cloud demand, insulating Samsung's chip revenue from a potential client oversupply after two years of high demand.


According to the data source TrendForce, the price of some DRAM chips, which are utilized in electronic devices and servers, decreased by around 12 percent last month compared to the same time period one year prior. As demand for smartphones and laptops decreases, analysts believe that prices will continue to fall.


"Server DRAM is currently the only feasible sales channel... As a result, Korean manufacturers were the first to signal a willingness to contemplate a quarterly price cut of more than 5 percent (for server goods) "DRAMS," according to TrendForce.


According to TrendForce, the costs of NAND Flash chips, which are used in electronic devices for data storage, are projected to decline by as much as 5 percent between July and September compared to the previous quarter.


Following two profitable pandemic years in which customers purchased devices for remote work, chipmakers throughout the globe are observing a fall in demand.


According to analysts, rising prices, worries of a dramatic market collapse, the Ukraine war, and China's COVID-19 lockdowns have hampered smartphone sales, leaving server chip demand as the only bright light.


During morning trade, the price of Samsung's stock jumped by 0.9%.