Shares of NVDA rose as high as $924 at the open today on enthusiasm for an Nvidia keynote from CEO Jensen Huang at its conference today. However those gains didn’t last and shares are now trading flat on the day.

The price action shows that it will be tough for AI to fuel gains from here. Shares of Supermicro are also taking a beating today, down 8.7% after opening strongly higher.

Some of this could reflect concern about the Fed but I’d wager that it’s largely profit taking in the hottest names in the market. We’re nearing the point where AI will have to deliver real-world results to continue to justify the capex. I think we will get there but timelines are tough to predict.

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• Source: https://www.forexlive.com/news/nvidia-gives-up-gains-ahead-of-todays-event-20240318/