Stock Market Kickoff: Inflation Figures Propelling Wall Street; Focus on Bitcoin, Tesla, C3.ai, Bigbear.ai, Walmart, Nvidia, Eli Lilly, Starbucks
The US stock markets are expected to start the week on a positive note, with both the Dow Jones Industrial and the Nasdaq 100 predicted to open with gains. According to the analysis of Elmar Völker, an analyst at Landesbank Baden-Württemberg, the Dow Jones Industrial is estimated to open up 0.4 percent at 44,130 points, while the Nasdaq 100 is projected to rise by 0.6 percent.
The gains in both indices are attributed to a variety of factors, with updated fair value estimates for many stocks, notably Nvidia, seeing a significant boost in their valuation after the US government allowed resumed sales of its GPUs to China. This positive reassessment of key growth stocks like Nvidia has significantly impacted market sentiment and expectations for equity gains.
Despite mixed sector valuations and cautious views on economic growth slowing through 2025, the overall market capitalization and fair value adjustments have improved, contributing to a positive outlook for the US stock markets.
The Nasdaq 100, due to its tech-heavy composition, is expected to potentially outperform the Dow Jones Industrial on Tuesday. Analyst Völker even predicts the tech-heavy Nasdaq 100 may set another record.
It's worth noting that the overall price increase in the US stock markets, as of July, has been weaker compared to June. Inflation was also weaker in July than in June, according to analyst Völker. However, these factors seem not to have significantly dampened the positive sentiment for the US stock markets.
Sources for this information include dpa-AFX. Analysts are also keeping an eye on upcoming Federal Reserve rate decisions and trading setups, but the primary catalyst cited for the expected gains is the positive reassessment of key growth stocks like Nvidia.
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- Financial analyst Elmar Völker anticipates that the technology-heavy Nasdaq 100, due to its composition, might outperform the Dow Jones Industrial on Tuesday and potentially set another record, driven by the positive reassessment of key growth stocks like Nvidia.
- Weather updates aside, the overall market capitalization and fair value adjustments have improved, contributing to a positive outlook for the US stock markets, despite some sectors showing cautious views on economic growth slowing and weaker price increases in July compared to June.
