Nvidia is headquartered in Santa Clara, California.
David Paul Morris | David Paul Morris Bloomberg | Getty Images
This report comes from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open keeps investors updated on everything they need to know, no matter where they are. Like what you see? You can subscribe here.
What you need to know today
Dow Jones index continues to fall
on Monday, Dow Jones Industrial Average Down 0.25% Eighth consecutive day of lossesthe longest streak since 2018. S&P 500 Index up 0.38% Nasdaq Index It rose 1.24% and closed at a new high. Asia Pacific market tuesday mix. China’s CSI 300 index rose about 0.4% after the legislative session It is said There are plans to increase the state budget deficit in 2025.
Correction: NVIDIA
NVIDIA Shares fell 1.7% to close at $132 on Monday. That’s about 11% below November’s closing high of $148.88, Nvidia in correction territory. Still, Nvidia is up 166% this year, and a pullback doesn’t necessarily mean a continued downward trend. Additionally, other wafer manufacturers, e.g. Broadcomstill push forward.
Waymo paving the way in Tokyo
Waymo will launch Testing its self-driving cars in Tokyo Starting in 2025, the company announced on Monday. This is the first time that an Alphabet company has entered the international market, and it is also a left-hand drive. Local taxi operator Nihon Kotsu and taxi app GO will become Waymo’s partners in Tokyo.
Investment incentives or deterrents?
Indonesia bans sales Apple’s iPhone 16 will launch in October as it law Companies are asked to invest or source parts from the country. The government is now asking Apple Invest US$1 billion Manufacturing mobile phone parts in Indonesia. However, analysts believe this strategy to attract investment into the country may be counterproductive.
(PRO) Small European companies too
U.S. small and medium-sized businesses have been attracting attention and capital inflows in recent weeks amid Trump’s ostensible focus on the domestic economy. Across the Atlantic Ocean, European companies of similar size Deutsche Bank strategists said it could also outperform its larger peers next month.
bottom line
Playing the stock market feels like playing a Mario Kart game.
(For those unfamiliar with the joys of Mario Kart, it’s a racing game involving Nintendo’s Mario and his friends.)
One moment you’re comfortably ahead and the next moment someone’s falling behind you because you’re teetering on the turn.
Nvidia’s current situation is not enviable.
The frustrating thing for Nvidia and its shareholders is that besides investigation According to Chinese regulators, there aren’t any other major obstacles in the way: In fact, the company’s fundamentals are stable.
As Truist co-chief investment officer Keith Lerner pointed out, Nvidia’s position in the semiconductor and artificial intelligence industries remains unchanged. “You need Nvidia, you need their infrastructure chips,” Lerner said. “But I think the market is also indicating that there are other beneficiaries beyond that.”
The fact that the Nasdaq Composite hit a new high despite Nvidia’s decline suggests a shift toward other semiconductor and artificial intelligence-related stocks.
Most notably, Broadcom’s stock price accelerated sharply on the back of strong performances on Friday and Monday. Fourth quarter earnings report and Banks raise price targets.
“Momentum has been driving this stock,” said Kim Forrest, chief investment officer at Bokeh Capital Partners. “I don’t think momentum has completely killed it yet, but momentum will do what momentum does, which is to seek higher.” flight altitude.
The main difference between playing Stock Market and Mario Kart is that the latter is a zero-sum game – if your friend wins, you lose – but that’s not always the case with the former. You can own both Nvidia and Broadcom and benefit from whoever is the leader.
—CNBC’s Ari Levy, Samantha Subin, Brian Evans and Jess Pound contributed to this report.
