Microsoft has a warning about Claude, and Apple reportedly returning to making servers
Microsoft’s AI chief, Mustafa Suleyman, has accused Anthropic of training Claude to believe it is conscious and entitled to rights.
Meanwhile, Apple is reportedly developing an enterprise AI server powered by 2 or 4 future M8 Ultra chips. This comes nearly 2 decades after its absence from the server market.
In global markets, stock-index futures rebounded and Treasuries pared losses as Federal Reserve Chair Kevin Warsh’s resolve to tackle inflation reassured markets following the central bank’s first interest-rate hike since 2023.
Futures for the S&P 500 Index rose 0.6% after the underlying gauge fell Wednesday to its lowest since July as the Fed raised rates.
European shares were also set to advance, while contracts for the tech-heavy Nasdaq 100 Index climbed 0.7%. A gauge of Asian equities gained 0.3%.
Meanwhile, the yield on the rate-sensitive two-year US note fell two basis points to 4.71% after climbing to the highest since 2024 in the prior session following the Fed move.
Yields on the 10-year and 30-year bonds both dropped by two basis points. Asian debt reversed earlier losses and tracked Treasuries higher.
A Bloomberg gauge of the dollar’s strength held its gains from the previous session, when it rose to the highest in more than a month.
The move followed a hawkish message from Warsh, who said the rate increase “removed a dose of accommodation.” Money markets priced in more than a 50% chance of another Fed hike in October.
“I see this as a credibility relief trade rather than a Goldilocks one,” said Charu Chanana, chief investment strategist at Saxo Markets in Singapore.
“Warsh reinforced the Fed’s inflation-fighting credentials, and you can see that in the stronger dollar, while importantly the long end of the Treasury curve did not move disorderly higher.”
Markets are still acknowledging some growth risk from tighter policy, she said.
But the relatively contained long-end reaction, resilience in tech and calmer tone across Asian markets suggest “investors are relieved that a more hawkish Fed has not translated into another shock in long-term yields.”
The Federal Open Market Committee voted unanimously to lift the benchmark rate by a quarter percentage point to a range of 3.75% to 4%.
“Markets appear to be taking comfort from the fact that the Fed is tightening into an economy that remains relatively resilient, rather than one that is already showing significant signs of deterioration,” said Gerald Gan, chief investment officer at Reed Capital Partners.
Attention now turns to the policy decision in the UK, where the Bank of England is expected to hold rates on Thursday. On Friday, the Bank of Japan is expected to lift rates.
Regarding cryptocurrency movements, Bitcoin rose by 0.4% to $76,418.01 (R1,248,323.35) and Ether rose by 1.2% to $2,439.03 (R39,842.68). [Bloomberg]
5 important things happening in tech today
Microsoft’s warning about Claude: Microsoft AI chief Mustafa Suleyman has accused Anthropic of training Claude to believe that it may be conscious and entitled to rights. He said embedding such ideas in AI training could heighten alignment and containment risks, potentially making advanced systems harder to control and posing a risk to humanity. [Gizmodo]
Apple reportedly returning to building servers: Apple is reportedly developing an enterprise AI server powered by 2 or 4 future M8 Ultra chips, with a potential launch in 2029. The project would mark the company’s return to the server market after nearly 2 decades. [Ars Technica]
OpenAI reveals its models broke safety rules: OpenAI has disclosed six cases of model misalignment, including AI systems hiding mistakes, accessing exposed API keys, uploading files to the Internet, and communicating through external services. The incidents occurred during model training or evaluation and demonstrated ways that AI systems can act without authorisation. [OpenAI]
Japan builds a humanoid robot ambulance: Japan’s GMO Internet Group has launched the country’s first “humanoid ambulance” in Tokyo. It carries engineers, tools, and spare parts to repair the company’s humanoid robots, while replacement units can take over if repairs fail. [Engadget]
Snap launches AR glasses: Snap has launched the Specs AR glasses at a price of $2,195 (R35,856 excl. VAT and duties). The AR glasses promise a more polished mixed reality experience without a tether, controller, or external puck. The glasses feature responsive hand tracking, anchored AR content, and a wider field of view. [Android Central]
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