U.S. January Inflation Stuck at Elevation, PPI Rebounds Above Expectations, Rate Cut Expectations Suppressed
**February 27 – U.S. Bureau of Labor Statistics (BLS) data shows January’s Producer Price Index (PPI) rose 0.5% month-over-month (MoM), beating market expectations of 0.3% and December 2024’s 0.4%. Year-over-year (YoY), PPI climbed 2.9%, topping the forecast 2.6%—signaling persistent upstream inflation pressure.**
**Excluding food, energy, and trade services, core PPI rose 0.3% MoM (in line with expectations) but jumped to 3.4% YoY, exceeding the 3% consensus. Structurally: energy prices edged lower (wholesale gasoline fell 5.5% MoM and 15.7% YoY), while rising wholesale service prices and expanded retailer/wholesaler profit margins drove the gains.**
**Earlier data showed January’s Consumer Price Index (CPI) rose 2.4% YoY, near the Fed’s 2% target. But the stronger-than-expected PPI has amplified concerns over inflation stickiness, likely keeping the Fed cautious on its rate path.**
**After the release, international spot gold prices pulled back slightly from highs before par
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OpenAI has completed the largest single-round funding in history: $110 billion, with a post-money valuation of over $840 billion.
On February 27, OpenAI—the artificial intelligence firm—announced it has closed a new funding round totaling $110 billion, with a pre-money valuation of $730 billion. Multiple media outlets have confirmed this round as the largest single corporate financing in global history, far surpassing the company’s $40 billion record set in 2025.
Key investors in the round include Amazon (contributing $50 billion), Nvidia ($30 billion), and SoftBank ($30 billion).
OpenAI stated the massive capital will primarily fund three priorities: accelerating AI infrastructure development, expanding computing power, and researching next-generation cutting-edge models—all to advance its "AI for everyone" mission.
Post-money valuation is expected to exceed $840 billion once the round wraps up. This landmark funding underscores the unprecedented demand for massive capital in the AI industry, further solidifying OpenAI’s leading position in global AI competition.
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Nvidia, SoftBank Invest $3 Billion in OpenAI
On February 27, OpenAI announced a new $110 billion investment round at a $730 billion valuation, with investors including Amazon ($50 billion), Nvidia ($30 billion) and SoftBank ($30 billion).
OpenAI will partner with Amazon (AMZN.O) to build customized models, leveraging 2 exaflops of compute capacity from AWS Trainium chips via Amazon Web Services (AWS) infrastructure.
SoftBank’s total investment in OpenAI is expected to hit $64.6 billion, giving it an approximate 13% post-transaction ownership stake in the company.
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Analysis: Tariffs and Geopolitical Risks Boost Gold's Safe-Haven Appeal, Likely to See Seventh Consecutive Monthly Gain
Gold prices climbed on Friday, February 27, as uncertainty over U.S. tariff policies and escalating U.S.-Iran tensions boosted the precious metal’s safe-haven appeal—putting it on track for a seventh straight monthly gain.
ANZ analyst Soni Kumari noted: “Two factors are supporting gold: current market uncertainty around tariffs, and the U.S.-Iran situation.”
Lin Trang, Senior Market Analyst at XS.com, commented: “Recent rounds of negotiations have produced no clear outcome, leaving geopolitical risks in place but not escalated. As a result, gold prices remain elevated but lack the momentum for a sustainable uptrend.”
(FX678)
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U.S. January PPI MoM 0.5%, Expected 0.30%, Prior Revised from 0.50% to 0.4%
**Feb 27: U.S. January PPI Update**
- PPI (month-over-month): 0.5% | vs. expected 0.3% | prior revised to 0.4% (from 0.5%)
- PPI (year-over-year): 2.9% | vs. expected 2.6% | prior 3.0%
- Core PPI (month-over-month): 0.8% | vs. expected 0.3% | prior revised to 0.6% (from 0.7%)
This aligns with U.S. financial news conventions: concise formatting, clear separators for "vs. expected/prior," and streamlined numerical notation (dropping trailing zeros like 0.30→0.3).
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