Soft sales in Wall Street this Wednesday, led by the Nasdaq, after the mixed close on Tuesday, in a session in which the geopolitical tension with Russia he made an appearance again. The market is also preparing to know the Nvidia resultswhich yesterday was once again the engine of the Nasdaq before publishing its figures. «Geopolitical tensions were in the news yesterday after Ukraine fired its first US missile at Russia, having received the green light from the White House after two years of waiting to do so. And the Kremlin relaxed rules that would allow them to use nuclear weapons if of an attack on its territory. The session was marked by a rapid flight to safety«explains Ipek Ozkardeskaya, senior analyst at Swissquote Bank.
WITH A LOOK AT NVIDIA
However, this Wednesday is one of the most anticipated days of earnings season«if not the most,» adds Ozkardeskaya. And, at the close of the market, investors have an appointment with Nvidia. The company will release its quarterly figures amid great expectation, not only about the evolution of its business, but also about its blackwell chip. «Strong demand for AI, particularly insane demand for Nvidia's next-generation Blackwell chips, as CEO Jensen Huang says, and strong results from TSM, which makes Nvidia's chips, hint that results will likely meet and hopefully exceed these expectations«adds the expert. Therefore, she believes that it is difficult to say that «good results will lead to a good market reaction.» In fact, last quarter, spectacular results and solid prospects were not enough to boost the price of the stock after the earnings announcement. «Over time, and at current valuations, investors have become harder to satisfy and they are every time more worried about what could go wrong«remarks this expert. Thus, one of the risks Nvidia faces is Blackwell delays. And the other is related to growing competition and slower future demand for artificial intelligence (AI) from Big Tech. In the results chapter, target Wall Street sinks 18% after disappoint with its third quarter results and cut your annual forecasts. The retailer has obtained a net profit of 854 million dollars, which represents a decrease of 12.1% compared to the 971 million dollars in the same period of the previous year. At the business level, it is also news that Comcast advances in the spin-off of its cable channels. The company's shares fell 0.5% after rising more than 2% in pre-market trading. Regarding the economic agenda for the next sessions, it includes references such as weekly unemployment data (Thursday); the Manufacturing and services PMIs and the University of Michigan consumer sentiment (Friday). Furthermore, the members of the Federal Reserve They sent measured messages to the market this Wednesday, since the governor Michelle Bowman has opted for a «cautious» approach when cutting interest rates and her counterpart Lisa Cook has assured that a «pause» cannot be ruled out if inflation behaves worse than expected. The market continues to expect a new rate cut before the end of the year.
OTHER MARKETS
In other markets, oil West Texas rises 1.03% ($70.10) and the Brent advances 0.73% ($73.83). For his part, the euro depreciates 0.55% ($1.0536), and the ounce of gold down 0.45% ($2,642). Furthermore, the 10-year American bond yield is revalued to 4.412% and the bitcoin adds 1.65% ($94,469).