South Korea overtakes Germany, Another day another OpenAI Funding Round, and Musk Consolidates Businesses

Global capital is on the move and it’s moving fast. South Korea has quietly leapfrogged Germany to become one of the world’s biggest stock markets, riding the same AI and robotics wave reshaping portfolios everywhere. At the center of that wave, OpenAI is drawing eye-watering interest from Nvidia, Microsoft, Amazon, and even SoftBank, as the race to own the future of intelligence intensifies.

Meanwhile, Elon Musk is reportedly toying with the idea of tying SpaceX closer to Tesla or xAI, feeding speculation that his empire may one day operate as a single, vertically integrated machine. And if SpaceX does go public, Robinhood wants in positioning itself as the gateway for everyday investors to buy into what could be the most hyped IPO in years. All that and the signals behind it in today’s Read It And Eat!

MAJOR HEADLINES

• South Korea's stock market cap overtook Germany's

South Korea has quietly pulled off a major market milestone, overtaking Germany to become the world’s 10th-largest stock market by total value. Powered by a surge in technology, artificial intelligence, and robotics stocks, the country’s market capitalization climbed to $3.25 trillion, edging past Germany’s $3.22 trillion, according to Bloomberg data. It now sits just behind Taiwan, reinforcing Asia’s growing dominance in global equities.

The jump has been dramatic. Since the start of 2025 alone, South Korea has added roughly $1.7 trillion in market value, driven by heavyweight tech champions riding the global AI investment wave. Chipmakers, robotics firms, and advanced manufacturing players have attracted both local and foreign capital as investors hunt for exposure beyond U.S. mega-caps.

More broadly, the shift signals a reordering of global capital flows. While Europe grapples with slower growth and industrial pressures, Asian markets especially those tied to next-generation technologies are becoming increasingly central to global portfolio strategies. South Korea’s rise underscores how AI is not just reshaping industries, but entire financial rankings. Bloomberg

• There are not enough letters for OpenAI’s Series funding

OpenAI is reportedly closing in on one of the largest private funding rounds in history, with Nvidia, Microsoft, and Amazon all in talks to invest as much as $60 billion, according to The Information. While details remain fluid and unconfirmed, term sheets are said to be circulating, signaling strong momentum behind the negotiations.

For Amazon, the investment appears tied to broader strategic discussions, including a potential expansion of OpenAI’s cloud infrastructure usage on AWS and deeper commercial agreements for enterprise products like ChatGPT subscriptions. Microsoft, already OpenAI’s largest backer, and Nvidia, the dominant supplier of AI chips, declined or did not immediately respond to requests for comment.

The talks come alongside reports that SoftBank is also considering an additional $30 billion investment, underscoring how OpenAI has become the gravitational center of the AI economy. If finalized, the funding would further entrench OpenAI’s position at the heart of global AI infrastructure backed by the very companies building, powering, and distributing the technology. The Information

• Elon Musk’s SpaceX Said to Consider Merger With Tesla or xAI

Elon Musk’s corporate universe may be inching toward consolidation. According to people familiar with the discussions, SpaceX has explored the feasibility of a merger with Tesla, an idea reportedly being pushed by some investors seeking tighter integration across Musk’s businesses. While no formal proposal exists, the talks highlight growing interest in aligning Musk’s industrial and technological assets.

Separately, SpaceX has also discussed a potential tie-up with xAI, Musk’s artificial intelligence startup, possibly ahead of an eventual IPO. Such a move would mirror Musk’s broader strategy of embedding AI deeply into everything from transportation to communications and space exploration.

While any merger would face significant regulatory, structural, and valuation hurdles, the conversations themselves signal how investors increasingly view Musk’s companies as parts of a single ecosystem. The ambition is clear: combine rockets, robots, cars, satellites, and AI into one vertically integrated vision of the future. Yahoo Finance

• Robinhood to Vie for Key Retail Role in Mega SpaceX IPO

Robinhood is positioning itself to play a central role in what could be one of the most anticipated IPOs of the decade: SpaceX. According to sources, the trading platform is competing with major Wall Street banks to secure a meaningful allocation of SpaceX shares to sell directly to retail investors.

The company would likely use its IPO Access platform, which allows everyday investors to buy shares at the IPO price before public trading begins. If successful, this would mark another step in Robinhood’s push to democratize access to deals traditionally reserved for institutions and high-net-worth clients.

For SpaceX, the move could broaden its shareholder base and generate massive retail enthusiasm. For Robinhood, landing a role in a SpaceX IPO would be a branding win reinforcing its identity as the go-to platform for retail participation in once-exclusive financial moments. Yahoo Finance

Minor Headlines

• Microsoft loses $360 billion in one day as investors worry over AI spending Financial Times

• Apple acquires Israeli AI audio startup Q.ai, reportedly for roughly $2B Reuters 

• Norway's $2T SWF trimmed stakes in US Big Tech stocks in h2  Sadanews

• German police raided Deutsche Bank in money laundering probe Wall Street Journal 

• US Weighs Tapping Robinhood for ‘Trump Accounts’ for Children.  Bloomberg 

• Bank of Canada held rates ‌at 2.25% Reuters 

• Trump says he'll announce Fed chair nominee on Friday morning as Kevin Warsh's odds soar. Yahoo Finance

• Yale Will Offer Free Tuition To Families With Incomes Below $200,000 Forbes

Earnings Headlines

Financials, Payments & Capital Markets

• Blackstone beat Q4 earnings as dealmaking hit 'escape velocity' with distributable earnings jumping on a 60% surge in exit realizations and carried interest rising 15%; the firm has lined up 'one of largest IPO pipelines in history' (BBG)

• Visa beat Q4 earnings and revenue estimates on resilient consumer spending as payment volumes rose 8% on strong holiday demand and continued strength in value-added services (BBG)

• Mastercard beat Q4 earnings as consumer and business spending remained resilient amid a favorable macro backdrop and continued adoption of card-based payments (BBG)

Digital Infrastructure & Advanced Technology

• ASML issued a Q4 beat-and-raise on record orders driven by robust AI-related chip spending; the firm will also cut 1.7k jobs (WSJ) 

• Microsoft beat Q4 earnings and revenue estimates but issued light operating margin guidance as cloud growth slowed and CapEx rose to $37.5B (CNBC) 

• Meta crushed Q4 earnings and revenue estimates and issued upbeat guidance, but projected sharply higher 2026 CapEx of $115B-$135B to fuel its AI investment (BBG) 

• IBM issued a Q4 beat-and-raise on a 14% jump in software revenue, signaling continued momentum in its higher-margin software business (BBG) 

• AT&T beat Q4 earnings and revenue estimates driven by strength in its wireless and consumer businesses, including broadband growth (BBG)

• Intel swung to a Q4 loss and forecast further pain for Q1 as supply shortages and manufacturing yield issues constrained shipments (WSJ)

• Apple crushed Q4 earnings and revenue estimates as iPhone demand drove a 16% sales surge led by a 38% jump in Greater China, though Mac, wearables, and services revenue came in slightly below expectations (CNBC) 

Aerospace, Defense & Industrial Systems

• General Dynamics crushed Q4 earnings and revenue estimates on a 22% surge in Marine Systems and 6% increase in Combat Systems revenue (WSJ) 

• Northrop Grumman issued a Q4 beat-and-raise on a record $96B backlog as heightened global tensions boost defense spending (BBG) 

• RTX Q4 earnings and revenue estimates on a 12% sales jump and 'great momentum' with backlogs climbing to a record $268B (BRN)

• Boeing Q4 revenue estimates on a  57% jump in sales with cashing rising for a second-straight quarter on its most jet deliveries since 2018, though wider losses tempered investor enthusiasm (CNBC) 

• GE Vernova beat Q4 earnings and revenue estimates but cited wind-unit setbacks that could cut ~$250M from its top line revenue and pressure backlogs (RT)

• Lockheed Martin missed Q4 earnings estimates but beat on revenue and raised guidance as its missiles unit led growth amid elevated geopolitical demand (BBG)

• L3Harris beat Q4 earnings estimates but missed on revenue as a prolonged US government shutdown delayed contracts and pressured procurement (RT)

• Honeywell topped Q4 earnings and raised FY guidance on robust demand in its Aerospace Technologies and Energy and Sustainability Solutions segments ahead of its earlier-than-planned aerospace spinoff (BBG)

Transport, Logistics & Mobility

• UPS beat Q4 earnings and revenue estimates and issued optimistic guidance despite another 30k jobs cut amid growing volume cuts from Amazon (RT) 

• Union Pacific reported strong Q4 earnings but posted a revenue decline as lower rail volumes were only partly offset by gains from land sales ahead of a historic merger with Norfolk Southern (WSJ) 

• American Airlines missed Q4 earnings estimates as the government shutdown weighed, but projected FY growth on traction in its premium-focused strategy (CNBC) 

• Tesla beat Q4 earnings and revenue estimates but capped its first-ever FY revenue decline due to growing competition and Musk's unpopular political rhetoric (CNBC) 

• General Motors (GM) Q4 earnings but missed on revenue estimates, projecting higher US vehicle production and flagging $4B in tariff costs despite an optimistic tone on operating performance (CNBC)

• Southwest Airlines missed on Q4 revenue estimates but beat on earnings and forecast a 4x surge in FY profits as new seat assignments, bag fees, and capacity growth takes hold (CNBC)

• Royal Caribbean missed Q4 earnings and revenue estimates but raised FY guidance on record bookings and strong demand (BBG) 

Consumer, Retail & Luxury

• Starbucks Q1 earnings estimates but beat on revenue as same-store sales rose for the first time in two years amid early progress in new CEO Brian Niccol's high-stakes turnaround plan (CNBC)

• LVMH beat Q4 sales estimates on improving China demand (RT)

Healthcare, Insurance & Life Sciences

• UnitedHealth Group beat Q4 earnings but issued a weak FY forecast with its first expected revenue decline in over 30 years as higher medical costs, enterprise 'right-sizing,' and a Trump decision to hold Medicare rates steady sent shares crashing 20% (CNBC) 

Consulting, Government & Professional Services

• Booz Allen Hamilton beat Q3 earnings estimates but missed on revenue due to the historic government shutdown and a decline in its civil business (YH)