Nvidia Reports Record Financial Results Driven by Strong AI Demand

Nvidia Reports Record Financial Results Driven by Strong AI Demand

Nvidia has achieved record financial performance, fueled by strong demand for AI technologies,
significantly boosting its revenue and profits.

 

Contents:

 

 

 

 

Nvidia

Nvidia announced strong quarterly financial results, driven by surging demand for AI-powered products,
with the company expecting continued strong performance in the current quarter.

In a report released after Wednesday’s market close, CEO Jensen Huang stated:
“The demand for
Blackwell chips is incredible. AI continues to drive expansion—more computing for training makes models smarter,
and more computing for deep reasoning makes responses more accurate and effective.”

The company also highlighted in its report that the large-scale production of AI-powered Blackwell supercomputers has significantly increased, leading to multi-billion-dollar sales in the first quarter.

 

Results

Nvidia’s Financial Performance for the Quarter Ending January 26, 2025

  • Revenue: Reached $39.33 billion, up 78% from $22.10 billion in Q4 2024, surpassing expectations of $38.05 billion.
  • Operating income: Rose 77% to $24.03 billion, compared to $13.61 billion in the same period last year.
  • Net profit: Jumped 80% to $22.09 billion, compared to $12.28 billion in 2024.
  • Adjusted EPS: Hit $0.89, marking an 82% increase from $0.49 in the previous year’s quarter.
  • Data center revenue: Recorded an impressive 93% growth, reaching $35.58 billion.
  • Gaming revenue: Declined 11% to $2.54 billion.

Annual Performance for Fiscal Year 2025

Nvidia reported annual revenue of $130.5 billion, an increase of 114% compared to the previous year,
while EPS rose to
$2.94, reflecting a 147% growth.

 

Outlook

Projections for Q1 of Fiscal Year 2026

Nvidia anticipates revenue of approximately $43 billion, with a possible variance of ±2%, exceeding analysts’ expectations of $41.78 billion.

Huang concluded: “AI is advancing at an incredible pace, paving the way for a new revolution across major industries through AI agents and physical applications.”

 

 

 

Nvidia Reports Record Financial Results Driven by Strong AI Demand

Nvidia Earnings Fuel Tech Stocks Amid Market Volatility

Nvidia Earnings Fuel Tech Stocks Amid Market Volatility: The global markets experienced weekly fluctuations
as economic and political developments impacted stocks and currencies.
Meanwhile, Nvidia’s earnings had a substantial impact on the technology sector.
While the company’s profits fueled gains for tech stocks on Wall Street,
some Asian markets declined due to concerns over U.S. tariffs and global economic developments.

 

Contents

Asian Markets

Trump’s Tariffs

Nvidia Earnings

U.S. Market Performance

Fund Managers’ Strategies

Bitcoin 

Key Economic Data Ahead

Conclusion

 

 

Asian Markets See Modest Gains Amid Global Market Uncertainty

Asian stocks posted slight gains on Thursday as investors assessed the impact of new tariffs imposed
by U.S. President Donald Trump and reacted to Nvidia’s earnings results.

Markets in Australia, Hong Kong, and Japan saw gains, while South Korea experienced a slight decline.
Meanwhile, Chinese markets fluctuated at the opening of trading.
U.S. S&P 500 and Nasdaq 100 futures stabilized after posting modest gains on Wednesday.
However, Nvidia shares slipped in after-hours trading as its strong financial
results failed to meet investors’ exceptionally high expectations.

 

Trump’s Tariffs Increase Market Volatility

On Wednesday, Trump announced that his administration would impose a 25%
tariff on the European Union while confirming that previously announced
tariffs on Mexico and Canada would take effect on April 2.
However, his contradictory statements created uncertainty among investors,
leading to sharp fluctuations in the currency markets.

The U.S. dollar strengthened, limiting losses for the Canadian dollar and the Mexican peso
but adding pressure on stocks and cryptocurrencies.

Marvin Loh from State Street commented:
“Unclear statements about the timing and extent of tariffs keep investors on edge.
The debate continues over whether Trump will revise his plans or if this marks the start of stricter trade policies.”

 

Nvidia Earnings Boost Tech Sector on Wall Street

Tech stocks saw substantial gains on Wall Street following Nvidia’s
earnings announcement amid expectations that profits would revive the AI-driven rally.

 Nvidia reported $11 billion in revenue from its Blackwell series chips in Q4,
calling it “the fastest product launch in company history.”

Darren Nathan from Hargreaves Lansdown stated:
Nvidia successfully dispelled concerns about Blackwell chip production and potential demand threats,
delivering revenue and earnings that exceeded expectations, along with strong guidance for the current quarter.”

 

U.S. Market Performance Post-Nvidia Earnings

At the close of Wall Street trading, the S&P 500 remained unchanged,
while the Nasdaq 100 increased by 0.2%.
In contrast, the Dow Jones fell by 0.4%, reflecting mixed market sentiment.
Meanwhile, the 10-year U.S. Treasury yield declined by four basis points to 4.25%,
signaling a shift in investor expectations.
The U.S. dollar index rose by 0.1%, highlighting its resilience amid market fluctuations.

 

Fund Managers Reassess Strategies

In recent years, the dominance of major technology companies has posed a challenge for fund managers.

As these companies’ stocks declined by more than 10% from their peaks,
new opportunities have begun to emerge for identifying future market leaders,
according to Lisa Shalett from Morgan Stanley.

Promising Sectors:

Financial services
Domestic industries and energy
Mining, media, and entertainment
AI-powered healthcare

Shalett explained that fund managers have reduced their allocations to major tech stocks
to their lowest levels since the global financial crisis,
contributing to improved fund performance,
especially with the decline of the “Magnificent Seven” stocks (Apple, Alphabet, Nvidia, Amazon, Meta, Microsoft, Tesla).

This shift has boosted the performance of active investors,
with 49% of actively managed mutual funds and exchange-traded funds
(ETFs) linked to the S&P 500 outperforming the index in 2025,
According to Morningstar Direct, this rate is significantly higher than the 17% average over the past decade.

 

 

 

 

Bitcoin Declines Amid ETF Outflows

 Bitcoin dropped to $84,000, marking a 20% decline from its peak last month,
as increased outflows from exchange-traded funds (ETFs) led to additional selling pressure.

 

Key Economic Data Ahead

Investors closely monitor key economic reports and meetings that could shape global market trends in the coming days.

Upcoming data and events include:

  • Eurozone Consumer Confidence Index
  • U.S. Gross Domestic Product (GDP)
  • Initial U.S. Jobless Claims

Additionally, G20 finance ministers and central bank governors are meeting in Cape Town,
expecting policy decisions that could shape financial markets in the coming period.

With ongoing market volatility, investors closely watch monetary
and trade policy shifts and their implications for the global economy.

 

Conclusion

Global markets experienced a volatile week, with Asian stocks reacting to new U.S. tariffs,
while Nvidia’s earnings supported the tech sector on Wall Street.
However, concerns remain about a potential global economic slowdown and changes in trade and monetary policies.

As markets anticipate upcoming G20 decisions and key economic developments,
investors remain in a wait-and-see mode for further indications on the future direction of global markets.

 

Nvidia Earnings Fuel Tech Stocks Amid Market Volatility

NVIDIA and Google: A Partnership Driving the Future of Quantum Computing

NVIDIA and Google: A Partnership Driving the Future of Quantum Computing

Technology is making leaps that surpass the limits of science fiction, as NVIDIA and Google join forces to revolutionize quantum computing. Through this partnership, the two companies are leveraging their expertise to develop groundbreaking technologies that unlock unprecedented opportunities in the tech world.

 

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Simulating Quantum Processors with Eos

Google Quantum AI announced its use of NVIDIA’s supercomputer, Eos, to accelerate the design of quantum components.
The primary goal is to simulate the complex physics underlying quantum processors, helping to overcome existing technical limitations.

Quantum computing is based on the principles of quantum mechanics, promising machines far faster than today’s semiconductor-based technologies. However, this field remains in its early stages, with significant challenges to achieving widespread commercial applications.

 

 

Tackling Quantum Noise Challenges

Noise, or quantum interference, is one of the biggest obstacles to developing quantum computing devices. NVIDIA is offering solutions powered by its accelerated computing technology, assisting Google in mitigating the impact of noise during the design of quantum chips.

Geoffrey Vidal, a researcher at Google Quantum AI, emphasized that achieving scalable quantum devices requires innovations to control noise. NVIDIA’s advanced technology is key to exploring the effects of noise on increasingly large quantum chip designs.

 

 

 

 

 

 

 

 

The Role of Supercomputers in Quantum Acceleration

NVIDIA’s supercomputer delivers exceptional performance, enabling scientists to simulate how quantum system components interact with their environment. These simulations, previously expensive and time-intensive, are now completed in minutes and at a fraction of the cost.

For instance, many quantum chips must be cooled to extremely low temperatures to function. NVIDIA’s system efficiently simulates these processes, supporting research and development efforts in the field.

 

 

Key Announcement at SC24 Conference

The partnership between NVIDIA and Google is part of a series of announcements made by NVIDIA during the International Conference for High-Performance Computing, Networking, Storage, and Analysis (SC24), held this week in Atlanta. This collaboration reflects the ongoing ambition to explore the potential of quantum computing and push technological boundaries to new heights.

 

 

Conclusion

The NVIDIA-Google partnership marks a significant step forward in accelerating progress in quantum computing. With continued advancements in innovative technologies, the dream of quantum computing becoming a reality that transforms the world might soon be within reach.

 

 

 

NVIDIA and Google: A Partnership Driving the Future of Quantum Computing

Nvidia Stock Approaches Becoming the Most Valuable in the World

Nvidia Stock Approaches Becoming the Most Valuable in the World
Nvidia’s stock saw a remarkable rise during today’s trading, briefly allowing the company to surpass Apple (NASDAQ: AAPL)
and become the most valuable globally. This surge was driven by the increasing demand for its advanced AI chips.

 

 

Content

 

 

Nvidia

Nvidia’s stock rose by 2.16%, or $3.03, reaching $143.44. In contrast, Apple’s stock gained 0.87%, or $2, to settle around $232.58.
According to market data, Nvidia’s market value reached $3.53 trillion, briefly surpassing Apple, which reclaimed its top spot with a current market value of about $3.54 trillion after its stock rebounded.

 

 

 

 

Japan

Japanese stocks witness strong gains.
Japan’s stock market closed on a strong note on Monday, with the Nikkei index recording its best daily performance in almost a month, benefiting from the yen’s drop to a three-month low against the US dollar. This yen decline followed parliamentary election results, where Prime Minister Shigeru Ishiba’s party lost the chance to form a parliamentary majority for the first time since 2009, increasing uncertainty regarding policy and the economy.
The Liberal Democratic Party, led by Ishiba, along with its junior coalition partner Komeito, secured 215 seats in the House of Representatives, falling short of the 233-seat majority required, compared to the 247 seats previously held.
By the end of trading, Japan’s Nikkei index climbed 691.46 points, or 1.82%, closing at 39,605.31 points, marking the best daily performance since September 27. The Topix index also rose by 1.51%, closing at 2,657.78 points, achieving its best performance since October 7.

 

 

 

 

 

Bitcoin

Bitcoin surpasses $68,000 once again.
Cryptocurrencies rose during Monday’s trading as investors took advantage of Bitcoin’s recent dip following reports that U.S. authorities are investigating the issuer of Tether due to allegations of financing illegal activities.
According to the data, Bitcoin increased by 0.97% to $68,345.7, while Ethereum rose by 0.79% to $2,508.6, and Ripple recorded a 0.48% gain, reaching 51.5 cents as of 10:55 a.m. Mecca time.

 

 

 

Nvidia Stock Approaches Becoming the Most Valuable in the World

Chinese Stocks Rise as Economic Stimulus Package Begins

Chinese Stocks Rise as Economic Stimulus Package Begins

Chinese stocks saw an uptick during Tuesday’s trading after the People’s Bank of China initiated its first steps to stimulate the stock market, giving a positive boost to investor confidence.
This rise comes as investors absorbed the new measures taken by Beijing to support the economy.

 

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China: 

The CSI 300 index rose by 0.57%, adding 22 points to reach 3,957,
while the Shanghai Composite Index increased by 0.54% or 17 points to reach 3,285.
Meanwhile, the Shenzhen Composite Index climbed by 0.86%, reaching 1,953.

This support came after the People’s Bank of China announced its first stimulus operation under a plan aimed at boosting stock market performance. Through this operation, assets worth 50 billion yuan (equivalent to 7 billion USD) were exchanged with several brokerage firms, investment funds, and insurance companies.

 

 

 

 

Fitch: 

Fitch Ratings expects the European Central Bank (ECB) to accelerate the pace of interest rate cuts.

On Monday, Fitch Ratings issued a memo predicting that the ECB will reduce interest rates more quickly than previously expected.
Despite this acceleration, the total expected cuts will remain at 200 basis points by the end of 2025.

In the memo, the agency noted that the ECB had already cut the interest rate by 25 basis points during its Monetary Policy Committee meeting held on October 17, bringing the main rate to 3.25%.

Fitch expects the bank to continue cutting rates by 25 basis points on four occasions over the next two years,
in March, June, September, and December, with a total of 100 basis points in cuts expected.

This latest rate cut is part of the ECB’s efforts to support economic activity, especially as inflation growth has slowed recently.

 

 

 

 

 

Nvidia: 

Nvidia’s market value surpasses $3 trillion.

Nvidia’s stock closed Monday’s session at a new record high,
pushing the company’s market value past $3.5 trillion for the first time in its history.
The stock rose 4.15% to close at $143.71, with additional gains of 0.40% in after-hours trading, bringing it to $144.30.

With this rise, Nvidia’s market value reached $3.525 trillion, making it the second global company—after Apple—to end a trading session with a market capitalization above $3.5 trillion.
The company only needed its stock to hit $142.682 to achieve this milestone,
but it exceeded this level despite broader market challenges.

Nvidia is now ranked second globally in terms of market value, behind Apple,
which first reached this level in July and currently has a valuation of $3.595 trillion.

 

 

Chinese Stocks Rise as Economic Stimulus Package Begins

Nvidia CEO Loses $10 Billion as Chip Stocks Plunge

Nvidia CEO Loses $10 Billion as Chip Stocks Plunge: Jensen Huang, the Chief Executive Officer of Nvidia Corp., recently faced one of the most significant financial setbacks of his career.
In a single day, his net worth plummeted by $10 billion,
marking the largest wealth decline he has experienced
since the Bloomberg Billionaires Index began tracking his fortune in 2016.
This staggering loss was driven by a sharp downturn in Nvidia’s stock,
coupled with news that the U.S. Department of Justice (DOJ)
had issued subpoenas to the company as part of an ongoing antitrust investigation.

 

Content

The Wealth Plunge

DOJ Investigation

Huang’s Journey
Conclusion

 

 

 

The Wealth Plunge: A Historic Drop for Jensen Huang

On Tuesday, Huang’s net worth fell to $94.9 billion,
a drop of approximately $10 billion in just one day.
This dramatic decline coincided with a 9.5% fall in Nvidia’s stock price,
a company that Huang co-founded and transformed
into one of the leading players in the global semiconductor industry.
The drop was not just a reflection of market volatility
but also a reaction to heightened regulatory scrutiny from the DOJ.
The investigation reportedly revolves around Nvidia’s
dominant position in the market and its business practices,
which some officials believe could be stifling competition.

 

DOJ Investigation: Escalating Antitrust Concerns

According to a Bloomberg report,
the DOJ has issued subpoenas to Nvidia as part
of its probe into potential antitrust violations.
The subpoenas are legally binding documents requiring
recipients to provide information that could be pivotal in the government’s investigation.
This move signifies a critical step toward
a possible formal complaint against the tech giant.
The DOJ’s concern lies in Nvidia’s market practices,
particularly its influence on the supply chain
and potential penalization of customers who do not exclusively use its artificial intelligence chips.

Nvidia’s success has made it a key player in the semiconductor industry,
particularly in the AI sector,
where its chips are considered unparalleled in performance.
However, this dominance has drawn scrutiny,
as antitrust officials worry that Nvidia may be making
it increasingly difficult for other suppliers to compete,
thereby limiting customer choices.

 

 

Huang’s Journey and Nvidia’s Market Dominance

Despite the recent setback, Huang remains the world’s 18th richest individual,
with his net worth having grown by $51 billion year-to-date,
even after Tuesday’s steep decline.
Born in Taiwan and raised in Thailand, Huang emigrated to the United States,
where he co-founded Nvidia in 1993.
Since then, Nvidia has grown into the world’s third-largest company by market value,
driven by the superior performance of its
products and the challenges faced by competitors in developing viable alternatives.

In response to inquiries about the ongoing probe,
Nvidia has defended its market position,
stating that its success is due to the quality of its products,
which deliver faster and more efficient performance than those of its rivals.

 

Conclusion

The recent events mark a tumultuous period for Nvidia and its CEO, Jensen Huang.
As the DOJ intensifies its scrutiny of Nvidia’s business practices,
the company faces not only financial challenges
but also the potential for significant legal battles ahead.
For Huang, whose fortune has been built on Nvidia’s unparalleled
growth and innovation,
the road ahead could redefine his company’s
role in the tech industry and its impact on global markets.

 

Nvidia CEO Loses $10 Billion as Chip Stocks Plunge

Bitcoin Hits Lowest Level in a Month Ahead of U.S. Jobs Report

Bitcoin Hits Lowest Level in a Month Ahead of U.S. Jobs Report: Bitcoin plunged to its lowest level amid a broad selloff in high-risk investments
in global markets due to concerns about economic outlooks.

 

Content
Bitcoin Hits Lowest Level

China’s Service Sector Activity

Nvidia CEO

 

 

 

Bitcoin Hits Lowest Level in a Month Ahead of U.S. Jobs Report

Bitcoin fell to its lowest level in a month amid a broad selloff in high-risk investments
in global markets due to concerns about economic outlooks.
The largest digital asset dropped more than 4%
at one point on Wednesday before paring some losses to trade at $56,635.
Most other cryptocurrencies, including Ethereum, also suffered similar losses.  

The decline comes as investors worry about signs of economic slowdown in the U.S. and China,
leading to the worst wave of global stock losses since the market crash on August 5.
This pessimism has extended to the crypto market,
where traders eagerly await the U.S. jobs report on Friday to see if a deeper economic slowdown is looming.

 

China’s Service Sector Grows Less Than Expected in August

According to a private survey, China’s service sector activity grew less than expected,
adding to concerns about the economy’s health.
The Caixin China General Services PMI, compiled by Caixin and S&P Global,

Fell to 51.6 in August from 52.1 in the previous month.
The median forecast of economists surveyed by Bloomberg was 51.8. Any reading above 50 indicates an expansion in activity.  

These results add to the growing picture of an economy that could be at risk of slowing down.
Official data released over the weekend showed that service industries, from restaurants to tourism,
were close to contraction during the last month of summer.
The sector is a key focus of government efforts to revive consumer demand, impacted by the ongoing property crisis.

 

 

Nvidia CEO Loses $10 Billion of Wealth in One Day

Jensen Huang, CEO of Nvidia, experienced an unprecedented drop in his wealth after chip stocks tumbled.

A report revealed that the U.S. Department of Justice

had issued subpoenas to the tech giant as part of an escalating antitrust investigation.  

Huang’s net worth fell by about $10 billion to $94.9 billion on Tuesday,
marking his most significant single-day loss since the Bloomberg Billionaires Index began tracking his fortune in 2016.
Huang’s wealth declined following a 9.5% drop in the shares of the chipmaker he co-founded.
A spokesperson for Nvidia declined to comment.

 

 

Bitcoin Hits Lowest Level in a Month Ahead of U.S. Jobs Report

Nvidia’s Revenue Exceeds Expectations, Surges 122% in Q2

Nvidia’s Revenue Exceeds Expectations, Surges 122% in Q2: Nvidia’s revenue surged by 122% during its second fiscal quarter,
reaching over $30 billion compared to $13.5 billion in the same quarter last year.
This figure exceeded market expectations, which had predicted revenue of $28.7 billion.

 

Content

Air Cargo Shipping  

Nvidia Revenue  

Berkshire Hathaway Group  

 

 

 

 

Global Demand for Air Cargo Grows by 13.6% in July.

The global demand for air cargo increased by 13.6% year-on-year in July,
marking the eighth consecutive month of double-digit annual growth.
The International Air Transport Association (IATA), in its July Global Air Cargo Market Report,
noted that this is the eighth straight month of double-digit annual growth,
with overall levels reaching heights not seen since their peak in 2021.

 

Nvidia’s Revenue Exceeds Expectations, Surges 122% in Q2

Nvidia’s revenue jumped 122% during its second fiscal quarter,
reaching over $30 billion compared to $13.5 billion in the same quarter last year.
This figure exceeded market expectations, which had predicted $28.7 billion.
The company’s profits also soared 168% to $16.6 billion in Q2,
compared to $6.18 billion in the second quarter of the previous fiscal year.
According to the London Stock Exchange Group, earnings per share surpassed market forecasts,
recording $0.68 compared to the anticipated $0.64.
Nvidia’s data center sales rose 154% to $26.3 billion
in the second quarter ending July 28, beating the estimated $25.15 billion.

 

 

 

 

 

Berkshire Hathaway’s Market Value Surpasses $1 Trillion.

The market value of Berkshire Hathaway, owned by American billionaire Warren Buffett,

has surpassed $1 trillion, making it the first non-tech company in the U.S. to reach this level.
The company’s shares have risen more than 28% this year, significantly outpacing the S&P 500’s 18% gain.
The company’s market value surge comes just two days before Warren Buffett,
famously known as the “Oracle of Omaha,” turns 94 years old.
Buffett is ranked sixth on Forbes’ real-time list of the world’s wealthiest individuals,
with a net worth of $146.1 billion at the time of this report. 

Nvidia’s Revenue Exceeds Expectations, Surges 122% in Q2

 

Nvidia’s Revenue Forecast Disappoints Investors and Impacts Tech Markets

Nvidia’s Revenue Forecast Disappoints Investors and Impacts Tech MarketsNvidia, the leading AI chip manufacturer,
announced its revenue forecast for the third quarter of this year, which is estimated at $32.5 billion.
Although this figure exceeded analysts’ average estimates, it fell short of some more optimistic projections that reached $37.9 billion.
This news raised concerns about the company’s rapid growth, leading to a decline in tech stocks in global markets.

 

Content
Nvidia’s Forecast

Artificial Intelligence

AI Spending

Decline in Tech Stocks

Global Stock Markets

Asian Markets

Investment in Technology

 

 

 

Nvidia’s Revenue Forecast and Its Impact on the Market

Nvidia announced that its third-quarter revenue would reach $32.5 billion,
exceeding the average analyst expectation of $31.9 billion but falling short of some more optimistic forecasts of $37.9 billion.
Despite surpassing second-quarter sales expectations,
these numbers raised investor concerns that the company’s rapid growth might face a slowdown in the future.

 

Impact on the AI Boom and Market Value

Nvidia is one of the primary beneficiaries of the race to develop data centers and enhance AI applications,
which has contributed to its rise as the second-largest company in the world in terms of market value.
However, the company’s stock dropped after the revenue forecast announcement,
reflecting investor disappointment from those who had expected better performance,
especially given the stock’s value has been more than doubled since the beginning of the year.

 

AI Spending and Nvidia’s Dependence on Major Clients

The revenue forecast came after several quarters in which Nvidia’s results exceeded Wall Street expectations.
Still, much of this growth relied on a limited number of major clients, such as Google and Meta.
With these companies pouring billions into AI infrastructure,
concerns remain that the scale of these investments could surpass current needs, potentially leading to an economic bubble.

 

Decline in Tech Stocks After the Results Announcement

Major tech stocks declined in late trading after the market closed,
with investors disappointed by Nvidia’s results.
The Nasdaq 100 index fell by 0.5%, while Nvidia’s stock dropped by 3%.
This was influenced by revenue forecasts that fell short of some investors’ hopes for continued earnings growth.

 

 

 

 

 

Impact of the Forecast on Global Stock Markets

Nvidia’s forecast triggered a fresh wave of market volatility,
the S&P 500 index declined by 0.6%, and the Nasdaq 100 fell by 1.2%.
The volatility index (VIX) also rose to around 17 points,
reflecting the prevailing anxiety among investors about the future of tech stocks,
particularly amid macroeconomic data and semiconductor export controls that could heighten these fluctuations.

 

Impact of Nvidia’s Forecast on Asian Markets

Nvidia’s announcement also impacted Asian markets,
with significant chip manufacturers like Taiwan Semiconductor and SK Hynix seeing declines.
This led to a 0.5% drop in the MSCI Asia-Pacific Index.
These decreases highlight that Nvidia’s performance has a global effect,
influencing investor confidence across the tech sector.

 

The Future of Investment in Technology and Artificial Intelligence  

Despite current challenges and volatility,
optimism remains strong about the future of AI and its role in driving growth and innovation.
Analysts believe that investment in this field will continue to thrive,
with the need to manage risk exposure carefully to ensure gains without falling into the trap of unsustainable inflation. 

 

Nvidia’s Revenue Forecast Disappoints Investors and Impacts Tech Markets

Tech Stocks Reverse U.S. Indices’ Upward Trend

Tech Stocks Reverse U.S. Indices’ Upward Trend: Nasdaq Falls Ahead of Nvidia Earnings:
U.S. stock markets have experienced sharp fluctuations as the announcement of Nvidia’s earnings approaches.
This has led to a decline in major tech stocks and significantly impacted the leading U.S. indices.

 

Contents

Decline in Tech Stocks

Fed Officials’ Statements

Market Expectations and Continued Stock Rises

Nvidia Earnings Expectations

Impact of Major Companies

Corporate Returns
Expected Stock Consolidation
Anticipated Economic Impacts

 

 

 

Decline in Tech Stocks

Major U.S. tech stocks declined, negatively impacting Wall Street indices

after the market rose to levels close to its all-time highs.
As the announcement of Nvidia’s earnings approaches, Bloomberg’s “Magnificent Seven” index fell by 1.2%,
affecting the performance of the S&P 500 index.
Meanwhile, the Dow Jones Industrial Average rose to a record level.

 

Fed Officials’ Statements and Their Impact on the Markets

Jerome Powell, Chairman of the Federal Reserve,
confirmed in the Jackson Hole seminar his expectations for a rate cut in September,

sparking expectations of a broader bull market.
However, investors are cautious about the impact of Nvidia’s earnings on the markets,
as disappointing results could pose a significant risk.

 

Market Expectations and Continued Stock Rises

Analysts expect strong inflows from corporate buybacks, systematic funds, and individual investors,
which could push stocks higher in the coming weeks.
Market experts also anticipate significant purchases by Commodity Trading Advisors (CTAs), which may contribute to stock gains.

 

 

 

 

Nvidia Earnings Expectations

Analysts believe that Nvidia’s earnings, to be announced on Wednesday,
will be a key driver of market movement this week.
Expectations for the company’s earnings are high,
with speculation that Nvidia may raise its earnings guidance.

 

Monitoring the Impact of Major Companies’ Earnings on the Market

Expectations persist that the “Magnificent Seven” companies will post significant earnings growth for the second quarter.
Nvidia’s earnings announcement is expected to significantly impact the market,
potentially more than Powell’s speech at Jackson Hole last week.

 

Corporate Returns and Their Impact on the Market

Corporate return expectations indicate that performance will be buoyant
following the Federal Reserve’s first rate cut unless the economy is in recession.
This trend may support small and mid-sized companies’ investments in the short term.

 

Expected Stock Consolidation

Despite expectations for rate cuts, concerns remain about the anticipated consolidation
of stocks around their previous high levels,
especially as we enter one of the worst seasonal periods.

 

Anticipated Economic Impacts  

Upcoming U.S. inflation figures are expected to strengthen the case for anticipated rate cuts,
with expectations that the central bank will continue to support economic expansion.

 

Tech Stocks Reverse U.S. Indices’ Upward Trend