Outlook on Wall Street: Cautious start before holiday break and reaction to Nvidia results. Tech stocks perceived as overbought.

Outlook on Wall Street: Cautious start before holiday break and reaction to Nvidia results. Tech stocks perceived as overbought.

According to a report by www.n-tv.de The futures on the stock indices show an almost unchanged start on Wall Street. Investors may be hesitant to make new commitments ahead of the Thanksgiving holiday. Additionally, Nvidia's earnings add to investor caution as the stock falls 0.4 percent despite beating sales and profit expectations. This could indicate that expectations for the company were set too high, which is confirmed by a strategist at Deutsche Bank. Investors' enthusiasm for AI is also expected to be dampened, particularly in the area of ​​tech stocks, which are perceived as somewhat overbought. The Nasdaq 100 is up 45.6 percent in 2023, while the S&P 500 is up 18.2 percent.

The possible dampening of enthusiasm for AI and uncertainty surrounding tech-heavy stocks could lead investors to be wary of further exposure to Wall Street. This could have implications for the market, particularly for investors in the technology sector. Economic data on weekly initial jobless claims and durable goods orders could provide additional insight into the state of the American economy and influence market movements.

Overall, the data suggests that the holiday break and Nvidia's results leave Wall Street facing a period of uncertainty and caution. It remains to be seen how these factors will affect stock market developments.