Active traders looking for targets this week don't have to look far. That's because a familiar name reports earnings on Wednesday after the close of U.S. markets.
Nvidia's stock continues to recover following April's tariff-fueled sell-off. The chipmaker appears to be picking up where it left off as data center demand continues to rise.
With AI continuing to garner interest, names like Nvidia and Taiwan Semiconductor Manufacturing are seeing stock purchases from the whales of the investment ocean. Those generally are billionaire fund managers.
AI chipmaker Nvidia has been on an amazing upward trajectory for the past few years. It finally faltered after China startup DeepSeek introduced new AI technology: a free, open-source large language model platform.
Semiconductor stocks continue to rally and will continue to do so as long as the artificial intelligence (AI) and data center themes stay hot. So far, it appears that trend could persist for some time.
Typically, the response to a market downturn is to wait for the red ink to subside, then to pick up the discount. However, there's another way to play bearish cycles and that is to consider exchange-traded funds that profit on downcycles.
Chief technology officers appear to share one thing in common when it comes to developing their IT budgets for the year — more artificial intelligence. This could add additional fuel to the already-hot AI theme and push AI-focused ETFs even higher.
Editor's Note: Any and all references to time frames longer than one trading day are for purposes of market context only, and not recommendations of any holding time frame. Daily rebalancing ETFs are not meant to be held unmonitored for long periods.