The US labour market showed signs of a steady slowdown in October, with job openings increasing moderately and layoffs declining, according to the latest Job Openings and Labor Turnover Survey (JOLTS) report released by the Bureau of Labor Statistics on Tuesday. Job openings, a key indicator of labour demand, rose by 372,000 to 7.744 million at the end of October. However, the September figures were revised downward to 7.372 million from the initially reported 7.443 million. Economists polled by Reuters had anticipated 7.475 million vacancies. Labour Market Dynamics While job openings increased, hires dropped by 269,000 to 5.313 million, and layoffs fell by 169,000 to 1.633 million. These figures suggest a gradual cooling of the labour market rather than a sharp contraction. Hurricanes and strikes also impacted October’s labour market data. Rebuilding efforts in storm-affected regions and the resolution of strikes at Boeing and another aerospace company are expected to contribute to a ...
Samsung Electronics Co. has seen its market value plummet by $122 billion as it grapples with challenges in the AI and semiconductor sectors, leading to the biggest decline of any chipmaker worldwide. Once poised to capitalize on the AI boom, Samsung’s stock has tumbled 32% since its peak in July 2024, as concerns grow over its inability to keep up with competitors like SK Hynix Inc. in AI memory and Taiwan Semiconductor Manufacturing Co. (TSMC) in outsourced chipmaking.
Foreign investors have dumped about $10.7 billion worth of Samsung shares since the end of July, further eroding the company's valuation. Samsung’s delays in high-bandwidth memory (HBM) chip production, crucial for AI processors, have allowed SK Hynix and Micron Technology Inc. to surge ahead in the race for AI chip dominance.
Samsung’s struggles extend beyond AI, as its semiconductor business—traditionally a major profit driver—faces deep challenges. The company issued a rare apology earlier this month for poor results and continues to fall behind in the foundry business, lagging behind TSMC and struggling to compete in outsourced chipmaking, much like Intel Corp..
With mounting pressure on leadership, Samsung’s management is expected to announce a reshuffle before year-end. The company’s executive chairman Jay Y. Lee, appointed in 2022, and Jun Young-hyun, who took over the semiconductor division this year, are under scrutiny as they work to regain investor confidence amid an industry reshaping itself around AI technology.
Samsung’s upcoming third-quarter earnings call will be closely watched for further signs of recovery, but for now, the company faces significant hurdles in its efforts to reclaim its technology leadership in the chip sector.
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