Stocks rallied yesterday, led by technology. Stocks are rallying less aggressively today, but technology is still leading the way. Gold and silver are down a bit along with Treasuries, while crude oil is flat and the dollar is up slightly.   

On the news front...

This is one of those days where you say: “Sure, there were 503 stocks in the S&P 500 as of July 31. But as of August 24, only one of them matters. Nvidia (NVDA).” That’s because the semiconductor maker and Artificial Intelligence (AI) stock absolutely, positively blew the cover off the ball with earnings late yesterday. Consider the following:

Sales doubled in the fiscal second quarter to $13.5 billion. Analysts expected $11 billion. Profit came in at $2.70 per share on an adjusted basis. Analysts expected just $2.07. Nvidia projected Q3 sales of $16 billion. Analysts expected $12.5 billion. Nvidia also said it would buy back an additional $25 billion in its own shares.

The news pushed Nvidia shares to an all-time record above $500 in the pre-market. They have now more than tripled JUST IN 2023! Nvidia is also now the first chip company to trade with a market capitalization of more than $1 trillion.

I’ve said it before, and I’ll say it again. There were multiple MoneyShow expert speakers who cited Nvidia as a great buy, and who have been firmly behind the AI movement, for several quarters now. They’ve talked about it in the articles we digest for you, in live and virtual presentations, and in our MoneyShow MoneyMasters Podcast episodes. I trust you followed their guidance and are benefitting as a result.

Meanwhile, today is the kickoff day for the Fed’s Jackson Hole, Wyoming symposium. The theme is “Structural Shifts in the Global Economy” and it will feature a speech by Chairman Jay Powell at 10:05 am ET on Friday, Aug. 25. More details can be found at the Kansas City Fed’s website (that is the regional Fed bank that organizes the annual event).

Finally, durable goods orders for July sank a greater-than-expected 5.2%. But if you strip out transportation, orders topped forecasts a bit. A key reading of core business investment was right in line with expectations.