Investing.com — Wall Street is looking slightly higher as investors await the release of chip maker Nvidia’s earnings, which could shape market sentiment for the rest of the week. Comcast has also been in the spotlight following its spin-off report, while UK inflation is showing further signs that the global disinflationary phase may be stalling.
1. Results Nvidia expects
Nvidia (NASDAQ:), the world’s most valuable company with a market capitalization of $3.6 trillion, is scheduled to release its latest quarterly results after the close of trading on Wednesday.
The company’s chips are widely regarded as the gold standard in the AI field, and given the strong growth in demand for everything related to artificial intelligence, the company’s performance reflects investor interest in tech stocks and There is a good chance that it can be used as an indicator to measure sentiment. Part of the stock market’s rise this year.
Option trades suggest a nearly $300 billion swing in market value, meaning the upcoming trading session could be volatile.
Expectations are rising after the company’s stock rose 5% on Tuesday, with analysts predicting Nvidia’s third-quarter revenue will rise more than 80% to $32.9 billion.
Wedbush analysts say NVIDIA is at the center of what they call an “AI revolution” and the market is likely to see another “microphone underperformance” from the AI powerhouse.
“Exceeding another $2 billion and exceeding our quarterly target by another $2 billion is the recipe for success that the Street is hoping for,” Wedbush added.
2. Futures are slightly higher. target announce the results
U.S. stock futures edged higher on Wednesday as investors cautiously awaited the release of tech giant Nvidia’s results.
By 03:45 ET (8:45 a.m. GMT), the contract was up 125 points or 0.3%, up 12 points or 0.2% and up 40 points or 0.2%.
Wall Street closed on a mixed note Tuesday as investors digested difficult conditions in Eastern Europe and quarterly corporate earnings.
Nvidia will release its latest financial results after the close of trading, followed by retailers Target (NYSE:) and TJX (NYSE:), which are expected to report their quarterly results.
Investors will also listen to commentary from the Federal Reserve and the Boston Fed president.
3. Comcast to make its cable network independent – Report
Comcast (NASDAQ:) will be in the spotlight Wednesday following reports that the media conglomerate plans to move forward with plans to spin off its NBCUniversal cable television network.
The Wall Street Journal reported that the company would spin off its network TV division, which includes channels like MSNBC and CNBC, after raising the possibility last month as the company makes a broader shift from traditional TV to streaming. It was announced that the decision had been made.
The asset generated about $7 billion in revenue in the year to Sept. 30 and remains profitable even as the advent of streaming accelerates consumers’ shift away from cable.
Comcast will retain its NBC broadcast television network, film and television studios, theme parks, and Peacock streaming service.
The spinoff is expected to take a year to complete and will be led by Mark Lazarus, currently chairman of NBCUniversal’s media group, WSJ reported.
4. UK inflation expectations are on the rise
UK inflation rose more than expected in October, surpassing the Bank of England’s 2% target and adding to recent signs that global disinflationary momentum may be stalling. Ta.
Consumer prices rose 2.3% last month, the first time inflation fell below the Bank of England’s target since 2021, and significantly from September’s 1.7% rise, which exceeded expectations for a 2.2% rise. rose.
The inflation rate rose 0.6% in base terms in October, marking the largest month-on-month increase in the annual CPI rate since October 2022.
The rise came before the impact of Britain’s new government’s first budget, which included tax increases on businesses, was felt.
The Bank of England said the Budget was likely to cause inflation to accelerate further next year, and Governor Andrew Bailey on Tuesday reinforced the central bank’s message that borrowing costs were likely to fall only gradually.
5. Oil profits from escalating tensions between Russia and Ukraine
Oil prices edged higher on Wednesday, helped by concerns that escalating fighting in Ukraine’s war could disrupt oil supplies from Russia.
By 3:45 ET, U.S. crude oil futures (WTI) were up 0.5% at $69.58 per barrel, while the contract was up 0.4% at $73.61 per barrel.
The U.S. embassy in Kiev was shut down early Wednesday after warnings of a possible attack. This came a day after Ukraine used US missiles to attack Russian territory, much to the chagrin of Russian President Vladimir Putin.
President Vladimir Putin on Tuesday lowered the threshold for a nuclear attack in response, a move that threatens to draw the West further into the Ukraine war and potentially disrupt Russia’s oil infrastructure.
But the gains were capped by data showing U.S. stocks added 4.75 million barrels in the week ending Nov. 15, far exceeding expectations for a modest 100,000 barrel increase.
If the figures are confirmed at a Finance Committee meeting scheduled for later in the session, they would signal a decline in demand in the world’s largest energy market as the driving season draws to a close.
