English
Back
Download
Clear
All
Quotes
News
Learn
Help
All
US
HK
CN
SG
AU
JP
All
News
Announcements
No matches yet
Operations too frequent. Please try again later.
Please check network settings and try again Refresh Refresh
Loading
History record
    Latest News
      Quotes More
      News More
      Learn More
      Help More
      Loading
      News More
      Announcements More
      Reports More
      Log in to access Online Inquiry
      Back to the Top
      DeepSeek ignites the AI market, where to Invest?
      Views 4.7M Contents 737

      The AI stock bloodbath & Nvidia's 17% sell off could be a big overreaction. Investors take heed of Warren Buffett's adage; 'be greedy when others are fearful'. Nvidia is up 3.3% aftermarket

      avatar
      Jessica Amir joined discussion · Jan 27 23:40
      Is the AI stock bloodbath & Nvidia's 17% sell off an overreaction? Investors take heed of Warren Buffett's adage;  'be greedy when others are fearful'. Nvidia is up 3.3% aftermarket
      US stocks sold off heavily, led by Nvidia falling 17% and wiping off almost US$600 billion in market value. This the biggest-ever plunge for a single stock, due to China’s DeepSeek demonstrating to the world it can produce inexpensive, powerful AI models that require less energy. So naturally, every man, woman, and their dog are questioning and reassessing everything — from expecting chip demand to slow, to expecting lower energy and uranium requirements to power future data centers.
      This means investors (including options and ETF holders) — some of who invest heavily in Nvidia, other chip makers, and AI-related stocks — will take their money off the table. Many were too leveraged, either from a positioning standpoint or because Nvidia was too big a part of their portfolio. So let this play out and unwind. Many will remain in a risk-off environment and let this blow off. But in the aftermath you will find out how much was an overreaction. That’s when you will probably see investors buying into the world’s biggest chip maker, especially given 40% of Nvidia’s clients start to release earnings this week, including Microsoft, Meta, Amazon, and Alphabet.
      This week was going to be huge to begin with, but now it will probably be a big reset and AI wake-up call.
      There will be lots of portfolios being readjusted, especially at a time when Japan raised interest rates to its highest level in 17 years. On one hand, investors will be bruised and waiting on the sidelines, others will be taking profits. Others will be looking for inverse ETFs to Nvidia going up — meaning many investors will be looking at Nvidia ETFs that go up when Nvidia falls, such as the NVD ETF $GraniteShares 2x Short NVDA Daily ETF (NVD.US)$ which rose 42% overnight. Expect investments to remain highly volatile, including Bitcoin and the like.
      Australia's share market remains insulated from the sell off and holds steady
      Down under, Australia’s sharemarket only fell 0.2% at the open with the $S&P/ASX 200 (.XJO.AU)$ somewhat holding up in comparison to the US markets. Why? Well a couple of reasons. Firstly the US futures have suggested that US stock selling has slowed and the S&P500 futures are now up slightly, suggesting dip buyers have entered the market. Secondly, China’s bank injected more liquidity into the system — US$234 billion worth — which is its biggest repurchase of contracts. This is supporting commodity prices higher. Which is good for Australian miners and the ASX200 at large.
      Meanwhile, expect Aussies to reassess their exposure to AI, tech, and rotate to safe havens such as healthcare and and staples. Also expect investors to look opportunity in health stocks such as ResMed $ResMed (RMD.US)$ for example which I've been talking about of late.
      Disclaimer: Moomoo Technologies Inc. is providing this content for information and educational use only. Read more
      +12
      5
      Translate
      Report
      172K Views
      Comment
      Sign in to post a comment
      avatar
      Jessica Amir
      Moomoo Official Market Strategist
      moomoo, market strategist. Seen/heard on Fox News Business, ABC, SBS, Reuters wires. Investor/Trader. Connect with me.
      5900
      Followers
      25
      Following
      15K
      Visitors
      Follow
      Discussing
      Trump 2.0 Era: How will global markets evolve?
      🎙️Discussion: 1. How will tariff policies affect the movement of key assets such as U.S. stocks, gold, and Bitcoin? 2. Given this context, Show More
      How will you adjust your portfolio under Trump's tariff impact?
      55%
      45%
      🚀Risk Assets
      🛡️Safe-Haven Assets
      1289 votes