White House moves to restrict AI chip exports! What impact will Trump's return have?

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CasualInvestor joined discussion · Jan 3 23:33

Day 74: Rate Cuts + TGIF

Today’s $S&P 500 Index (.SPX.US)$ market session saw strong momentum in tech stocks, fueled by anticipation for CES 2025, the biggest tech showcase of the year. With companies set to unveil groundbreaking innovations, investors are rallying behind the Magnificent 7 and other tech leaders.

Winners of the Day
• NVIDIA ( $NVIDIA (NVDA.US)$ NVDA): 🚀 +3.29% – Leading the charge as investors anticipate major AI and GPU announcements at CES.
• Tesla ( $Tesla (TSLA.US)$): 🔋 +1.00% – Gains driven by excitement around potential EV and autonomous driving updates.
• Amazon ( $Amazon (AMZN.US)$): 📦 +0.82% – Optimism about AI and logistics innovations adds to the upward momentum.
• Microsoft ( $Microsoft (MSFT.US)$): 💻 +0.53% – Steady gains ahead of expected CES announcements on AI and cloud technologies.
• Google ( $Alphabet-A (GOOGL.US)$): 🌐 +0.49% – Investors are watching for developments in smart tech and AI at CES.

Mixed Performers
• Meta ( $Meta Platforms (META.US)$): -0.17% – Slight pullback as investors consolidate gains, but still a major CES player to watch.
• Apple ( $Apple (AAPL.US)$): -0.49% – Cooling off slightly, though excitement remains for potential CES updates on AR/VR tech.

Broader Market Sentiment
• $CBOE Volatility S&P 500 Index (.VIX.US)$: Dropped -2.40%, reflecting reduced volatility and growing confidence as CES draws near.

What’s Driving the Market?
1. CES Excitement:
• NVIDIA is expected to unveil cutting-edge GPUs and AI advancements.
2. Strong Fundamentals:
• A resilient labor market (as reflected in the recent jobless claims report) is bolstering economic optimism.
• Investors are gearing up for a tech-driven 2025.

Key Takeaways for Investors
• Tech Momentum: With CES just days away, tech stocks like NVDA, TSLA, and AMZN are set to dominate headlines.
• Opportunities in Volatility: Pullbacks in META and AAPL could present buying opportunities ahead of major announcements.
• Broader Market Strength: With reduced volatility, the S&P 500 is signaling optimism for the year ahead.