Nasdaq closes higher with recovery of AI giants, and Apple goes against the trend
Chips rose again and Microsoft and Amazon advanced, while Apple fell after warning about memory costs that should pressure margins at the end of the year.
BY THE X-TRADER NEWS NEWSROOM · REPORTING FROM INFOMONEY · 2 MIN
The Nasdaq closed higher on November 3, driven by the recovery of large companies in the artificial intelligence sector, according to InfoMoney, which cited Reuters. The movement took place before the mid-term elections in the United States and was accompanied by the return of shares that had been falling recently, such as Nvidia.
The highlight was the chip sector. Nvidia rose 2.3%, after four consecutive sessions of decline, and Micron Technology, a memory chip maker, advanced 2.6%. The broad chip index surged in trading, a sign that appetite for semiconductor stocks has returned.
Among technology giants, Microsoft and Amazon rose more than 2% each. Apple went in the opposite direction, with a drop of 1.9%, and appears on the list of technology giants whose balance sheets failed to impress investors.
The company warned that the cost of memory chips will continue to rise, which should pressure gross margin in the year-end quarter. The warning draws attention because it shows that cost pressure is not restricted to component manufacturers, it also affects those who purchase them.
AMD also rose before the release of the quarterly earnings, scheduled for after the market closes. Part of today's movement, therefore, takes place before a concrete test of results, which tends to keep the market attentive to the company's statements.
What is at stake is whether the artificial intelligence sector can sustain investor confidence after a sequence of falls by names like Nvidia, while balance sheets begin to separate those who protect their margins from those who suffer from rising costs.
What changes for the investor
The trading session suggests a market that separates shares by result and margin, and not just by theme. Those who follow the sector can observe three points: the balance sheets of AMD and other chip names, the evolution of memory costs at the companies' margins and the market's mood ahead of the mid-term elections in the United States.
Automatically translated from Portuguese.
