Happy Friday! QQQs +55bps ahead of NFP today with Oil -4% and yields down 2-3bps across the curve. BTC +2%
In Tech, Semis leading the way higher as NVDA +1.7% close to ATHs this morning on the back of MS making it a top pick after NDRs this week; STX/WDC ~-10% on news Toshiba is investing ¥60bn to double its production capacity for hard disk drives while targeting 30% market share; APP -5% continues to be weak, today on weaker 3p mention; ON +8% on revising SYNA deal terms (cash; immediately accretive).
Overnight, Asia mixed: TPX -0.99%, NKY -0.94%, Hang Seng -2.6%, HSCEI -2.31%, Taiwan TAIEX +0.25%, Korea KOSPI +0.46%. Softbank -5%
Lots of good stuff to get to, so let’s get right to it…
HDDs/WDC/STX: Toshiba to invest 60 billion yen to double HDD supply; demand expands due to difficulties in semiconductor memory procurement - Trendforce
AI data centers are driving a new wave of demand for high-capacity storage, prompting Toshiba to significantly expand its HDD production. According to Nikkei, the Japanese technology group plans to double production capacity for hard disk drives used in AI data centers within fiscal 2027. Toshiba will invest roughly JPY 60 billion (US$380 million) to expand its facilities in the Philippines.
The expansion marks Toshiba’s first major HDD investment in around five years. In addition to adding production lines at its Philippine plant, the company will begin handling new products that increase storage capacity per drive by as much as 40%, the report notes. Looking further ahead, Toshiba plans to work toward mass production of 65TB-class HDDs in 2030, followed eventually by 100TB-class models.
Some feedback on Slack:
