00:00 Speaker a
So this morning we clearly have three big stories we are seeing. The trade headlines came out overnight, and are reports of the work we've just got, and other stories Jared Brickle just mentioned, which has something to do with Big Technology. As you can see, Apple is rising in pre-market trading, while Amazon falls after the numbers. So let's talk about that and more about the broader implications of technology in this economy. Veronica Clark, Leslie Falconio, Steve Sosnick, and still with me. Steve, I'd like to go to you first here. Because these days, revenue seems to be really prioritized over some of these macro concerns. But like you said, there was a kind of tone shift. So, you know, Microsoft and Meta hit the market a few days ago and I feel that's different from us this morning. So, what are your thoughts on technology trading in Apple, Amazon, and in markets like this?
01:20 Steve Sosnick
Well, what kind of difference does it make in a day? So this was 24 hours ago, that was the story. That was how Meta and Microsoft were just heading ahead. Today, it's a bit calming down. I think part of that was the bar set a little higher after these two revenues reported. For Apple, the numbers look very good when it comes to some of the iPhone's revenue and its nature, but I think it's part of the reason they haven't seen a enthusiastic response. And I know anecdotely. I know people who have made the iPhone purchases progress. So I think it might have helped, and that's what I think is kind of a reason. For Amazon, this company has so many different directions, so I think there are many different factors, but basically, one of the reasons why Alphabet and Microsoft worked out is cloud revenue. And I don't think it's necessarily maintained the pace with Amazon. There was nothing to inspire people there, but I think that's where Amazon is a bit more of a casualty. I'm not talking about irrational vitality, but about the vitality of the market over stocks that have come before.
04:04 Speaker a
And Veronica, here's something like the related question, and this is the AI question. Clearly, all of these companies reflect this push to AI. As we saw today, do we see it in terms of work count? Or is the mistake primarily reflecting the weakening of the economy?
04:36 Veronica Clark
Yes, that's really hard to pinpoint. Yesterday we received the Challenger Job Cut Announcement. And there was an increase, where AI is the reason for some job cuts. But it may have more to do with the reason why employment is so low. I think it's probably also about fundamentally weak labor demand. That's something that should be expensive. But if AI is increasing productivity, if someone leaves, you may not be replacing them. And much of this weakening in the labour market we have seen so far has been driven by very low employment, not by layoffs. And maybe ai will become part of that story.
