Investors have passed the first major stress test of the week. Nvidia's figures may be entirely to the stock market's liking. The AI growth story remains alive and investors' appetite for valuations does not yet seem to be satisfied.
Market participants are unlikely to take any major risks ahead of the eagerly awaited speech by Kevin Warsh at the annual central banking symposium in Jackson Hole on Friday. Uncertainty regarding the future direction of US monetary policy is currently acting as a damper on investors' risk appetite.
DAX chart on a monthly basis
Source: TradingView
Kevin Warsh in the spotlight on Friday afternoon at the central bankers' meeting in Jackson Hole
On Friday, the focus will shift in particular to the speech by Fed Chairman Kevin Warsh at the economic symposium in Jackson Hole, Wyoming (4:00 p.m.). Investors are likely to scrutinize the aforementioned speech for monetary policy clues. The meeting runs from today until coming Saturday and is expected to attract a great deal of attention around the globe.
At the same time, the annual revision of US non-farm employment figures is also expected. Last month, non-farm employment fell by approximately 23,000, as the US Department of Labor announced at the beginning of the month. Prior to this, an increase of 80,000 jobs had been expected. At the same time, job creation from the two previous months was revised downward by a net 103,000.
NVIDIA beats analyst estimates
The world's most valuable company, Nvidia (ISIN: US67066G1040), more than doubled its revenue in the last quarter compared to the same quarter last year, reaching 99.22 billion dollars. Analysts had previously expected revenue of 92 billion dollars. For the current quarter, revenue of around 108 billion dollars was projected. At the same time, the AI chip manufacturer plans to expand its partnership with Amazon and raise over 500 billion dollars together with financial investors to expand additional data centers. „The expansion of AI infrastructure is running at full steam,“ said CEO Jensen Huang according to a statement.
Nvidia monthly chart
Source: TradingView
