Nvidia’s AI Announcement

At its inaugural GTC Conference, Nvidia CEO Jensen Huang introduced the Blackwell chip, a notable advancement over their current AI-powering chips. Despite the premarket decline, Nvidia’s stock remains robust with over 78% growth. This development marks a significant milestone in AI technology and Nvidia’s market position.

Federal Reserve Policy Meeting

The Federal Reserve’s ongoing meeting is a pivotal focus for investors, given the unsettling inflation reports and the expectations for interest rate policies. Current predictions from the CME FedWatch Tool suggest a 99% probability of unchanged interest rates in this week’s meeting, with no changes foreseen in the near future.

Company Highlights and Movements

Unilever announced a spin-off of its ice cream division, including brands like Ben & Jerry’s, alongside a major restructuring leading to 7,500 job cuts. This news boosted its U.S. shares by over 2% in premarket trading. Advanced Micro Devices and other tech stocks, such as Super Micro Computer and Dlocal, showed varied responses in the market, with some experiencing significant declines. In the crypto sector, firms like Coinbase and Riot Platforms witnessed a drop in shares following a decrease in bitcoin value.

Market Forecast

Given the current market climate, with specific focus on Nvidia’s technological advancements and the Fed’s cautious stance on interest rates, the short-term outlook appears mixed. While tech innovations and company restructurings offer some positive momentum, concerns over inflation and monetary policy may temper market optimism. As such, a cautious approach is advisable, with a slight bearish inclination in the short term.

Technical Analysis