Nvidia earnings boost market sentiment

Important news for the day

Thu, 20th, 14:30 CET US Nonfarm payrolls report.
Thu, 20th, 14:30 CET US Unemployment claims.

NVidia data

The chip manufacturer increased their sales number once more, showing that the chip demand remains steady. Recent worries in regards to the overvalued AI sector had hence been reduced, which also might lead to another positive push in stock markets. The numbers went even beyond the expectations from Wall Street. The spending spree in the sector seems to remain strong, still. The revenue increased by 62% ending at USD 57 billion in that quarter. Expectations were sitting at USD 55 billion. Also the revenue forecast for the current quarter was higher than expected. Shares have jumped about 5.5% in early trading today.

Market talk

Markets remain in mixed mode with the positive risk sentiment returning. Equities have started to rebound after a potential bullish close in the S&P 500 and Nasdaq index. The S&P will turn interesting at the technical level of 6.750. At that level the market will decide what the future move will be. Today’s NFP report will also indicate the potential path. The number is expected very low with only 53.000 newly created jobs. A positive surprise might help the Dollar while stocks might turn weaker as the FED might not act soon and cut rates. The Dollar remains rather strong against other currencies yet Gold and Silver prices might start their rebound. Oil’s upside on the other hand looks limited and might indicate that the price will weaken again.

Tendencies in the markets

• Equities positive, USD stronger, crypto weak, oil weak, Silver sideways, Gold sideways.