tech stocks

The earnings reports of U.S. tech giants will be the focus of the market this week, with investors primarily focusing on the AI boom and its impact on related companies. Among them, NVIDIA, as a benchmark in the AI field, has seen its stock price surge by 54% year-to-date, drawing significant market attention. However, recent market focus seems to have shifted.

According to the MLIV survey, about half of the respondents believe the best way to increase AI investment is through secondary and tertiary investments, such as grid-related companies benefiting from the massive energy demand of AI. Meanwhile, less than one-fifth of participants said they would consider buying NVIDIA stock on dips, which may be related to NVIDIA's 10% drop last Friday.

The upcoming earnings reports from U.S. corporate giants provide an opportunity for the stock market. After the S&P 500 fell for three consecutive weeks (the longest losing streak since September), the earnings season could be a turning point for U.S. stocks to reverse the downtrend. However, to achieve this shift, the earnings reports must change the recent negative market narrative.

Overall, market attention on NVIDIA may have declined, with investors possibly preferring to participate in the AI boom through secondary and tertiary investments. NVIDIA's recent stock price volatility also reflects cautious market sentiment about its prospects. The upcoming earnings season will be a critical period to assess the actual performance and market expectations of these tech giants.