"The chipmaker delivered better-than-expected results and projected current-quarter revenue above consensus, citing continued robust spending by major technology firms on AI infrastructure. Management emphasised that generative AI represents a structural shift in computing demand and signalled that, despite supply constraints at TSMC, Nvidia was able to secure the components needed to meet demand."
"No H200 AI chips have yet been sold to Chinese customers despite conditional US approval, highlighting the impact of US-China trade tensions. At the same time, the market could also react to geopolitical developments and changing monetary policy expectations. The outcome of talks between Washington and Tehran could prove pivotal for near-term risk appetite."
Nvidia delivered better-than-expected earnings results and provided forward guidance above consensus, driven by continued robust spending from major technology firms on AI infrastructure. Management emphasized that generative AI represents a structural shift in computing demand. Despite supply constraints at TSMC, Nvidia secured necessary components to meet demand. Gaming margins may face temporary pressure from component tightness. However, significant uncertainties remain, including no H200 AI chip sales to Chinese customers despite conditional US approval, reflecting US-China trade tensions. Market direction will also depend on geopolitical developments, Washington-Tehran negotiations affecting risk appetite, and economic data influencing interest rate expectations.
#nvidia-earnings #ai-infrastructure-demand #us-china-trade-tensions #geopolitical-risk #monetary-policy
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]