Nvidia Is One Less Brick On The Wall Of Worry, For Now

Nvidia beat expectations and raised 2028 revenue growth guidance to 70%, reinforcing AI sector strength despite supply constraints. AI accelerator demand remains robust, but questions persist about NVDA's circular financing and rising competition. The Fed's preferred inflation gauge was stable; upcoming PCE calculation changes should push core inflation below 3% by October. I expect no Fed policy changes this year, with a rate cut likely in 2027, supporting risk assets into year-end despite potential September volatility.

The markets were exceptionally quiet yesterday in advance of Nvidia’s earnings report, as investors braced for numbers that could either undermine or reinforce the AI investment theme. This had been one of the largest bricks in