Nvidia Shares Rocket After Positive Outlook
Shares of technology company Nvidia (NASDAQ:NVDA) have rocketed more than 25% on Wednesday’s after-hours trading session as the chipmaker presented optimistic second quarter revenue forecasts. What also drove Nvidia stock higher is the company’s announcement that it shall double-up on supply to meet accelerating demand for artificial intelligence chips.
MACROECONOMIC DATA ANALYSIS
Asian stocks were damaged to two-month lows on Thursday amid the U.S. dollar rising in robustness, with investors and traders concerned about global economic woes arising from the potential U.S. government default if the debt ceiling is not raised. Asia-Pacific shares, China, and Hong Kong sustained a downturn in value while Japan’s Nikkei was up.
A Japanese economist by the name of Toshihiro Nagahama participated in a government panel, stating the Asian nation’s central bank may abandon a rather controversial bond yield cap during this year if risks continue to prevail, such as global banking turmoil. He also said that the Bank of Japan (BOJ) should also avoid removing monetary and fiscal support prematurely to make sure that recent positive signs in wage and consumption are sustained.
The U.S. dollar gained on Thursday morning, pushing to two-month highs against other major peers, as worries concerning a potentially-calamitous U.S. default are growing which prompted Fitch to assign a negative connotation to the United States’ “AAA” rating. The dollar index, which tracks the greenback against other major currencies, jumped 0.24% to 104.045.
Gold prices traded lower on Thursday’s early hours, driven by growing fears that the United States may not raise the debt ceiling which is likely to prompt a default. While the dollar greenback bumped higher, gold futures dwindled 0.23% to $1,960 per ounce.
Oil prices tumbled on Thursday morning amid growing uncertainty about the United States debt ceiling situation and a possible default which is likely to damage global economies significantly. Brent futures dropped 0.43% to $78.02 a barrel, while WTI futures fell 0.56% to $73.92 per barrel.
USA: S&P500 -0.73%, Dow Jones Industrial Average -0.77%, Nasdaq Composite -0.50%
Europe: FTSE 100 -0.39%, DAX -0.12% CAC 40 -0.18%
Asia: Nikkei 225 +0.39%, Hang Seng -2.04%, CSI 300 -0.22%, Nifty 50 -0.25%
Daimler and Toyota announced on Tuesday that they had entered a non-binding agreement to combine the businesses of their truck units in Japan. Under the partnership’s memorandum of understanding (MOU), the businesses of Daimler-owned Mitsubishi Fuso Truck and Bus Corp and Toyota subsidiary Hino Motors would be combined under a holding company, as said in a statement.
OpenAI CEO Sam Altman said on Friday that the corporation is not planning on leaving Europe and areas of the European Union, contrasting a threat made earlier in the week to exit the region if it becomes difficult to comply with stringent artificial intelligence laws. The European Union is drafting a first set of global rules to govern artificial intelligence and Altman believes that the current draft is “over-regulating”.