AI chip trade, Saks’ bankruptcy woes, Trump’s health-care plan and more in Morning Squawk

Happy Friday. This week isn’t even over yet, but I’m already gearing up for next week’s big events: the World Economic Forum in Davos, a major Supreme Court case and Netflix earnings.

S&P 500 futures are higher this morning after yesterday’s winning session.

Here are five key things investors need to know to start the trading day:

Chip stocks led the market higher yesterday after Taiwan Semiconductor Manufacturing Company released better-than-expected results, including a 35% year-over-year increase in fourth-quarter profit.

Here’s what to know:

• On top of reporting record quarterly profit, TSMC also beat forecasts and said it plans to boost capital expenditures, a sign of its confidence in the AI buildout.
• Shares of Nvidia, Advanced Micro Devices and Broadcom — all TSMC clients — gained following the chipmaker’s report.
• Later in the day, the Department of Commerce announced that Taiwan will invest $250 billion to expand chip production capacity in the U.S. In return, the U.S. will lower blanket tariffs on Taiwan to 15% from 20% and pledge zero tariffs on several Taiwanese exports.
• TSMC has already built plants in Arizona, but Commerce Secretary Howard Lutnick told CNBC’s Brian Sullivan yesterday that the company has purchased more land nearby and could expand further.
• While TSMC Chief Financial Officer Wendell Huang said Thursday the company’s U.S. investments were not directly related to trade negotiations, he affirmed TSMC’s U.S. expansion plans.
• “We have strong conviction on the AI mega trend, and that is the reason we are stepping up the capital expenditures to expand in Taiwan and in the U.S.,” Huang told CNBC’s Emily Tan.
• Follow live market updates here.

If you’re disappointed to hear that Neiman Marcus and Bergdorf Goodman’s parent company filed for bankruptcy, you’re not alone. Amazon would also like to have a word with Saks Global.

The e-commerce site asked a federal judge yesterday to block Saks’ bankruptcy financing plan, accusing the retailer of failing to hold up its agreement. Amazon invested $475 million into Saks’ 2024 acquisition of Neiman Marcus, but “that equity investment is now presumptively worthless,” Amazon lawyers wrote in the filing.

The company told the judge that it and other creditors would be hurt by Saks’ bankruptcy financing plan because it would have the department store operator take on more debt. As CNBC’s Gabrielle Fonrouge and Annie Palmer report, Amazon threatened to “seek more drastic remedies” if Saks doesn’t resolve its concerns.

President Donald Trump yesterday unveiled an outline of his health-care plan, which his administration said would reduce drug prices and insurance premiums.

The plan — dubbed the “The Great Healthcare Plan” by the White House — would codify Trump’s “most-favored-nation” policy, which ties the cost of prescription drugs in the U.S. to lower prices abroad. A fact sheet said the plan would also send money for health insurance “directly” to Americans, though some health policy experts say that’s a bad idea.

The announcement came as senators struggled to reach an agreement on the extension of Affordable Care Act subsidies. The new plan does not include extending the Obamacare tax credits, which Democrats demand be part of a health-care deal.

Prediction markets could be getting a big bank backer.

Goldman Sachs CEO David Solomon said yesterday that the bank is exploring opportunities in the growing corner of finance, telling investors on the company’s earnings call that he “personally met with the two big prediction companies and their leadership in the last two weeks.”

While Solomon pumped the brakes on the idea that Wall Street would rapidly embrace prediction markets, he noted that trading platforms regulated by the Commodity Futures Trading Commission “look like derivative contract activities.”

“So I can certainly see opportunities where these cross into our business,” he said.

From the Milano Cortina Winter Olympics, the Super Bowl, to the NBA All-Star game, sports fans have a lot to look forward to next month.

And so does NBCUniversal, which will air all three events on NBC and its streaming service Peacock. NBC Chief Marketing Officer Jenny Storms is calling it “Legendary February,” and it’s set to be a big test for the broadcaster, which spent billions of dollars on live sports rights.

As CNBC’s Alex Sherman reports, next month is simply a reflection of what’s become NBC’s strategy, which — despite what co-CEO of parent company Comcast Mike Cavanagh says — is sports-first.

Here are a few stories worth reading over the long weekend.

CNBC’s Dylan Butts, Pia Singh, Ari Levy, Kif Leswing, Emily Tan, Sarah Min, Gabrielle Fonrouge, Annie Palmer, Kevin Breuninger, Garrett Downs, Annika Kim Constantino, Greg Iacurci, Yun Li and Alex Sherman contributed to this report. Melodie Warner edited this edition.