CNBC Daily Open: Rumbles within the Magnificent Seven

• Alphabet gained 2.4% while Apple fell 0.8%, marking a significant shift in the 'Magnificent Seven' tech stocks as Apple falls behind in the AI race with delayed Siri improvements lacking a firm release date
• Nvidia unveiled Alpamayo, a new platform for autonomous vehicle development, which Musk claimed would only become competitive in '5 or 6 years, but probably longer'
• The S&P 500 and Dow Jones snapped three-day winning streaks, while Trump announced he will not permit dividends or stock buybacks for defense firms until they meet his demands

Market Summary: Magnificent Seven Shifts and Key Developments

Market Performance

The S&P 500 and Dow Jones Industrial Average snapped three-day winning streaks on Wednesday, while the Nasdaq advanced. European markets showed mixed results, with Germany's DAX gaining 0.92%.

Magnificent Seven Reshuffling

Alphabet surpassed Apple in market capitalization for the first time since 2019, reaching $3.89 trillion versus Apple's $3.85 trillion. Alphabet rose 2.4% while Apple declined 0.8%. The shift reflects Apple's struggles in the AI race—its enhanced Siri launch faced delays and lacks a firm release date. By contrast, Alphabet's aggressive AI deployments, including new models and generators, made it the top Big Tech performer in the previous year.

Nvidia announced "Alpamayo," a new computing platform for autonomous vehicles at CES. Tesla CEO Elon Musk downplayed the competitive threat, suggesting it would take "5 or 6 years, but probably longer" to challenge Tesla—echoing similar dismissals of competitors in the past.

Other Key Developments

• Venezuela will ship sanctioned oil to the U.S. indefinitely, according to White House sources
• Warner Bros. Discovery rejected Paramount's bid again, calling it "inferior" to its Netflix deal
• Defense sector: Trump stated he "will not permit" dividends or stock buybacks for defense firms until they address his complaints about the industry
• Greenland focus: The territory's strategic position and abundant natural resources, including rare earth elements and critical minerals, continue drawing attention amid geopolitical discussions

An analyst noted bullish prospects for an AI company highlighted favorably by Nvidia CEO Jensen Huang at CES.