The flow of money in AI appears one-way at this point
Anthropical website Friday, August 22, 2025.
Gabby Jones | Bloomberg | Getty Images
Money continues to flow into AI companies, but it’s leaving AI stocks.
Once again, in the scenario where the left hand scratches the right hand, Microsoft And Nvidia The OpenAI rival will invest a total of $15 billion in Anthropic as it commits to buying computing power from its two newest stakeholders. At this point it seems like most of the AI news can be summarized as follows: “Company X is investing in Company Y, and Company Y will buy something from Company X.”
OK, this is unfair. There are many developments in the world of artificial intelligence related to development, not investments. Google Gemini’s third version, the AI model, will “dispense with clichés and flattery for real insight,” said Demis Hassabis, CEO of Google’s AI unit DeepMind. (But I still want an AI chatbot to compliment me on my curiosity when I ask how to cut a pear, so I’m not sure if this is a pro for me.)
But investors still seem skeptical about artificial intelligence. Important names like Nvidia Amazon And Microsoft There was a decline in the US on Tuesday, with the S&P 500 index having its fourth consecutive red session, the longest decline since August.
And if Nvidia — “the best company in the top sector,” as CFRA’s chief investment strategist Sam Stovall put it — fails to meet investors’ expectations when it reports earnings on Wednesday, we could see the S&P 500 decline.
What you need to know today
The S&P 500 is down for the fourth day in a row. Other important indices are also While moving downwards in the USA on Tuesday, bitcoin prices fell below $90,000 before recovering. Europe’s regional Stoxx 600 It lost value by 1.72 percent and reached its lowest level in a month.
Anthropic signs are interested in Microsoft and Nvidia. Microsoft announced Tuesday it will invest up to $5 billion in the startup, while Nvidia will invest up to $10 billion. This puts Anthropic’s valuation at around $350 billion, according to one source.
Google announced its newest artificial intelligence model, Gemini 3. Alphabet CEO Sundar Pichai said Tuesday that the desired responses would require “less incentives.” The update comes eight months after Google introduced Gemini 2.5 and will be available in the coming weeks.
US Senators call for investigation of Trump-linked crypto firm. World Liberty Finance, which is predominantly owned and operated by the Trump family, sold tokens to a North Korean hacking organization, an Iranian crypto exchange and others, according to a report. corporate watchman.
[PRO] Potentially resilient stocks amid AI crash. There are some global stocks and non-equity assets that could weather the recent turbulence in U.S. tech names, strategists told CNBC.
And finally…
Oleksi Liskonih | Istock | Getty Images
Diplomatic row between Tokyo and Beijing threatens Japan’s already fragile economy
Disturbed by Japanese Prime Minister Sanae Takaichi’s comments about Taiwan, China advised its citizens not to travel to the country on Friday. While stocks affected by tourism in Japan fell following this warning, experts warn that the impact could be more severe over a longer period of time.
Takahide Kiuchi, executive economist at Nomura Research Institute, said tensions between the two Asian powers could lead to a 1.79 trillion yen drop in Japan’s GDP within a year, or 0.29% of the country’s GDP.
-Lim Hui Jie
