Riding on the optimism that the Federal government would reopen, stock markets rose. The Dow Jones added 559 points to close at 47,927.96, a new record. Despite Nvidia (NVDA) pulling back, the Dow reflects expectations that delayed economic data would give stocks a reason to trade higher.
SoftBank (SFTBY) sold a $5.8 billion position in Nvidia. The cash raised might point to the start of the AI bubble at or past its peak.
The market’s bullish view of economic data is unusual. ADP reported on Tuesday that the private sector cut 11,000 jobs weekly through late October. The weak labor market, however, would give the central bank a reason to cut interest rates again in December. Despite Fed Chair Powell asserting that a rate cut is not guaranteed, the poor job market would support a 25-bps cut.
Advanced Micro Devices (AMD) CEO Lisa Su said that the AI addressable market is a $1 trillion opportunity for the firm by 2030. The CEO cited that AMD supplies AI and high-performance computing solutions. In 2027, AMD sees a clear path for tens of billions of dollars in revenue.
AMD increased its custom design wins in the last 12 to 18 months. AMD closed at $237.52. Its 52-week high is $267.08.
Tech Insider
