Nvidia just shook up markets again
AI rally gets another boost
- Nvidia’s strong sales outlook lifted US stock futures and Asian shares.
- Nasdaq 100 futures climbed 0.9%.
- South Korea’s Kospi jumped 1.8%, with SK Hynix and Samsung among the biggest contributors.
Nvidia’s big AI bet
- Nvidia expects revenue to grow around 70% in fiscal 2028.
- That is well above the roughly 45% growth analysts were expecting.
- The message: AI infrastructure spending may still have plenty of room to run.
But not everyone is impressed
- Some investors think the results and outlook were not strong enough to justify the excitement.
- Rising memory prices could also put pressure on margins.
The Fed problem returns
- Sticky inflation is keeping rate-hike bets alive.
- The 2-year US Treasury yield rose to 4.22%.
- Markets are now fully pricing in a Fed rate hike by December.
Asia feels the heat
- Bonds fell across Australia, New Zealand and Japan as investors priced in tighter monetary policy.
- The South Korean won strengthened after another rate hike from the Bank of Korea.
Wheat hits a 3-year high
- Black Sea attacks are disrupting shipments.
- That is bringing fresh concerns about food inflation.
Gold keeps climbing
- Gold rose around 0.8% to $4,626 an ounce.
- Brent crude traded near $87 a barrel.
Corporate watch
- Salesforce: Shares surged after a stronger outlook.
- CrowdStrike: Raised expectations for full-year revenue.
- Anthropic: Agreed to spend $45 billion on AI computing power from Nscale.
- Abercrombie & Fitch: Stock jumped 35% after raising guidance.
- Meta: Agreed to a roughly $16.7 billion settlement over youth social media addiction claims.
What markets are watching now
Nvidia has given the AI trade another boost. But inflation, bond yields and the Fed could still decide whether the broader rally has room to continue.