Bank of America resets Fed interest rate cut forecast ahead of FOMC meeting

An analyst who previously purchased Palantir shares below $10 has updated their stock price target, reflecting the ongoing momentum in the artificial intelligence sector. This comes as AI technologies continue to gain traction, with businesses increasingly investing in AI solutions to enhance operations and services.

Bank of America has revised its stock forecast for Amazon following a significant decline in the company's stock value, which has dropped approximately 8% over the past month despite a strong earnings report at the end of October. This decline is attributed to a broader sell-off affecting artificial intelligence stocks, including Nvidia, which has faced even steeper losses.

On December 3, Iren, a company transitioning from Bitcoin mining to AI data services, announced the pricing of $3.6 billion in equity and convertible note offerings, including a $2 billion private convertible notes offering. This move marks a significant step in its evolution as an AI infrastructure provider amid a growing demand for data-center capabilities.

Bank of America (BofA) has forecasted an 'air pocket' in the market rather than an AI bubble, attributing this to the increasing debt levels associated with the rush to build data centers. BofA's strategy chief, Savita Subramanian, emphasized that while AI will not maintain its current dominance, the situation is not akin to the dot-com bubble of 2000.

AT&T has initiated a lawsuit against T-Mobile, alleging that the latter's recent strategies to attract customers are unfair and aggressive. This legal action highlights the escalating competition in the telecommunications market as companies vie for customer loyalty amidst shifting consumer preferences.

A popular outdoor sports retailer has filed for Chapter 11 bankruptcy, indicating significant financial distress within the company. This legal move allows the retailer to reorganize its debts while continuing operations, reflecting a shift in consumer purchasing behavior and challenges in the retail sector.

Tesla is facing significant challenges in the Chinese market, as recent developments indicate a slowdown in demand, contrasting with previous expectations of growth. The company's stock has been negatively impacted as investors reassess the sustainability of its performance in this critical region.

The Russell 2000 index surged nearly 2% on December 3, 2025, following a disappointing jobs report that has reignited speculation about potential interest rate cuts by the Federal Reserve. This increase reflects a positive sentiment in the market as investors react to economic indicators.