Texas Dem wins governor vowing to halt data centers

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Before The Bell

Change over the last 24 hours · as of Nov 4, 2026, 6:08 AM ET

Texas Democrat wins governor vowing to halt data centers LINK

• Gina Hinojosa won the Texas governorship, becoming the state's first Democratic governor since 1990 after campaigning on a pledge to pause data center construction, a result Big Tech had closely watched given Texas holds over 25% of planned US capacity through 2030.
• Hinojosa plans a moratorium on new data center builds, plus tighter water and power rules and an end to tax breaks; incumbent Greg Abbott, who once wanted Texas as the "epicenter of AI development," conceded late yesterday.
• Raymond James flagged the race as pivotal for "the next leg of the AI trade," warning a Democratic win could signal broader AI restrictions, while Bank of America called it one of the highest-impact elections for the entire utility sector.

Sherrod Brown beats crypto-backed rival in Ohio LINK

• Democrat Sherrod Brown won back an Ohio Senate seat yesterday, beating Republican incumbent Jon Husted and dealing a defeat to the crypto industry super PAC Fairshake, which had spent heavily to keep him out of Washington.
• Fairshake committed $30 million against Brown this year, after spending $12 million in 2024 to help oust him; Brown, a longtime crypto skeptic, previously chaired the Senate Banking Committee and pushed for crackdowns on illicit crypto use.
• If Democrats retake the Senate, Brown could chair the Agriculture Committee, which oversees digital assets and prediction markets, and sources told The Block he would be unlikely to advance any crypto legislation from that post.

AMD data center sales nearly double on AI demand LINK

• AMD's data center revenue nearly doubled from a year earlier in the third quarter, lifting the chipmaker past Wall Street forecasts and sending its shares up 7% in extended trading on Tuesday.
• Total revenue rose 45% from a year earlier, with the data center unit now accounting for a majority of AMD's business, up from under half a year ago, as CEO Lisa Su said growth in data center processors should "accelerate further."
• AMD credits a resurgence in its server CPUs driven by agentic AI apps like Meta's Muse, which run for hours on their own; the report lands days after Intel posted 78% data center growth but saw its stock drop 29% on Friday over weak guidance.

Earnings report reveals Shopify Q3 revenue miss LINK

• Shopify shares dropped 7% yesterday after third-quarter revenue of $3.74 billion fell just short of estimates, its first revenue miss since 2022.
• The disappointment ran deeper in its core recurring business, with subscription revenue of $836 million undershooting the $850.2 million forecast and raising questions about growth in that segment.
• Not every number missed: adjusted earnings of $0.49 a share narrowly beat estimates, though the company highlighted 32% revenue growth and merchandise sold through the platform also came in below forecasts.

Rising euro zone prices push ECB toward hikes LINK

• Euro zone inflation climbed to a three-year high of 4% in October, up from 3.8% in September, strengthening the case for the European Central Bank to raise interest rates at its December meeting.
• Surging energy costs drove the jump, with energy inflation rising to 20.8% as Europe, a net energy importer, absorbs price increases that have mounted since the start of the Iran war; every euro zone economy remains above the ECB's 2% target.
• Markets nudged the odds of a December hike just past 72%, but analysts warn turmoil in France's bond market is constraining the ECB; an easing there could allow more aggressive tightening and lift the euro, already up 0.6% against the dollar, further.

Macro News

• U.S. job openings jumped 333,000 in September, signaling labor-market strength. LINK
• Treasury yields fell as safety demand offset election-driven stock futures losses. LINK
• Gold and silver rose as the dollar weakened after midterm results. LINK
• SEC classified Canton Coin as a commodity, easing enforcement concerns over issuance. LINK
• China reportedly told banks to pause listings to stem the market slide. LINK
• EU and Canada will link real-time payment systems under a broader pact. LINK
• US regulators cleared exchanges to offer single-stock perpetual futures for the first time. LINK
• Democrats secured Senate control with 51 seats after an Iowa win. LINK
• Trump said the US and Canada are close to a trade deal. LINK

Corporate News

• Revolut share sale valued the fintech at $115 billion, up 53% year-over-year. LINK
• Canva is cutting jobs and reshuffling roles affecting 22% of its workforce. LINK
• Fal doubled its valuation to $16 billion in a $1.3 billion funding round. LINK
• Supermicro beat forecasts and projected quarterly sales above analyst estimates. LINK
• Block shares rose after stronger earnings and a higher full-year profit forecast. LINK
• Razorpay won Sebi approval for an IPO targeting roughly $5 billion valuation. LINK
• CVS weighs splitting retail pharmacies from insurance and pharmacy-benefit businesses by 2028. LINK
• Novo raised its outlook as Wegovy pill sales beat forecasts, recovering market ground. LINK
• CrowdStrike will buy two AI security startups for $495 million. LINK
• Google offered buyouts across five countries as AI spending drives cost cuts. LINK
• Fiserv explores selling noncore businesses, including a debit network, to buyers. LINK
• Arista revenue surged 58.5% to a record $3.66 billion on AI demand. LINK

Stocks

▲ Biggest winners

Fabrinet rose 15% after fiscal Q1 revenue rose 51% to $1.47 billion, beating guidance. LINK

Fiserv rose 12% after the company raised its Project Elevate savings target to $1 billion and announced plans for a $500 million fourth-quarter share buyback. LINK

Lattice Semiconductor Corporati rose 11% after record Q3 revenue of $291 million and strong Q4 guidance powered by AI demand. LINK

▼ Biggest losers

Dynatrace fell 15% after cutting full-year revenue guidance. LINK

Gartner fell 13% after missing Q3 revenue estimates and cutting full-year guidance. LINK

Zebra Technologies fell 9% after warning that 2027 profit margins could be thinner. LINK

Research & Reports

• Global executives identify technology and AI disruption as their top risk. LINK
• Goldman sees slower S&P earnings growth but another positive year for stocks. LINK
• ECB tracker signals euro-area wage growth will accelerate slightly in 2027. LINK
• Tighter bank lending to nonbanks could damp Bitcoin demand without rate hikes. LINK
• US companies' AI service spending reached $176.8 billion, up 5.4-fold. LINK
• SpaceX could reach 13 gigawatts of data-center capacity by 2027, research says. LINK

Market Calendar

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