The Nasdaq 100 futures have lowered with the recent release of data surrounding Nvidia. This Tuesday has seen the release of data for Nvidia earnings. Seemingly, these figures did not impress investors. Nvidia’s stocks fell subsequently by 1.00% on the same day. So, on Wednesday, Nasdaq futures have slipped down 0.10% as a result, as it is such a tech-heavy index. So, the Nasdaq 100 forecast is looking a little negative for now.
At the same time, S&P 500 futures traded sideways for the time being, while Dow Jones futures actually increased by 0.10%.
The paradox is that earnings for the third quarter for Nvidia were actually positive in reality, beating expectations. However, the problem that investors recognised is the report’s warnings about China for the next quarter. While earnings may be good for now, China is starting to set up export restrictions. This will undoubtedly have negative effects on Nvidia’s future earnings and maybe on the Nasdaq 100 forecast as well.
There is also speculation about the overvaluation of Nvidia stock. The tech giant’s shares have risen by over 200.00% in the last year alone. It may be possible that we have finally seen a peak in this bull run, and from now on, the stock’s price will reduce. The stocks have passed over the $500 point this week, reaching a record high. By Tuesday, it reached down to $499.44.
The story was worse for regular indices. The S&P 500 lowered by 0.20%, and further on with the Nasdaq discussion, we saw that the index fell off by 0.59%, which ended their 5-day winning streak. Meanwhile, the Dow lost 0.18% of its value. Another part of the reason for this was the Fed’s recent comments on monetary policy. The central bank plans to keep things restrictive on the interest rate front for the time being. It does not appear to be cutting down on rates for a while, as far as we know. Nasdaq forum discussion will undoubtedly be keeping an eye on this.
