Waiting on Nvidia for next leg of AI rally
NVDA•AI rally still riding on Nvidia
Much now rides on Nvidia to drive the next leg of the AI rally, given its role as a bellwether for the broader AI ecosystem spanning chipmakers and companies financing the rapid expansion of data center capacity.
Oil, sanctions and data in focus
Elsewhere, oil prices were nursing losses after threats from the U.S. for an "economic D-Day" of sanctions on Iran turned out to be a damp squib.
The U.S. on Monday unveiled an expansion of sanctions that it said would cut off Iran's economic lifeline but stopped short of the most punishing measures, instead putting the world on notice to cease doing business with the Islamic Republic.
Tehran promised to retaliate against the sanctions and expressed confidence that major trading partners would resist Washington's pressure campaign.
As the war in the Middle East drags on, investors await a string of data releases from Europe this week, including German GDP data and the German Ifo survey later on Tuesday, which could shed light on the economic cost of higher-for-longer energy prices.
Key developments that could influence markets on Tuesday:
- Germany GDP, Ifo survey
- Reopening of 2-year German government debt auction
- Reopening of 7-year UK government debt auction
- U.S. Conference Board's consumer confidence
- Federal Reserve Bank of Richmond President Thomas Barkin speaks
