As the S&P 500 and Nasdaq 100 trade cautiously, all eyes are on Nvidia’s upcoming earnings report and US PCE data. These two key events could have a significant impact on the AI sector and set the tone for the stock market in the coming weeks.
Key Points:
- The S&P 500 and Nasdaq 100 are trading cautiously ahead of Nvidia earnings and US PCE data.
- Nvidia’s earnings this week could significantly impact the AI sector and set the tone for the stock market for the weeks ahead.
- From a technical perspective, the S&P 500 is nearing all-time highs. Will Nvidia be the catalyst for fresh highs?
Analysis:
It is shaping up to be a very interesting week for Technology stocks as the Nvidia earnings could have a knock-on effect for all companies involved in the AI race. This week could prove critical for stocks in general and set the tone for the next two months in the lead-up to the US election.
Looking at historical data in US election years, markets tend to dip between September and October in the lead-up to the election. This is then followed by a recovery after the election heading into December and the “Santa” rally.
Individual company news is also making waves, with Apple maintaining a “buy” rating and Tesla facing challenges due to tariffs on Chinese EV vehicles. The fear and greed indicator shows that markets are currently in greed territory, which could signal a contrarian opportunity for investors.
From a technical perspective, the S&P 500 is trading near all-time highs, with key support and resistance levels to watch. Will Nvidia be the catalyst needed for fresh highs, or will historical trends during election years prevail?
Overall, investors should keep a close eye on Nvidia’s earnings and US PCE data as they could have a significant impact on the stock market in the coming weeks. Understanding the potential implications of these events can help investors make informed decisions and navigate the market volatility ahead.
Don’t miss out on this crucial market update – stay informed and stay ahead of the curve!