Nvidia Stock Up On Friday

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Nvidia Stock Up On Friday

Nvidia Stock Up By 5% While SP 500 Turns Red

For the first time in almost six months, a sharp drop was seen in the US stock market. According to various analysts, the pullback seen in the US stock markets was a long time coming.

As a result, the S&P 500 lost 5% of its value and retreated from the 28th March high. If we measure this pullback, that's one of the biggest since October last year. It appears that even Nvidia was no exception, as it also registered double-digit drops for the week.

Google'S Capex At 3-Month High

However, it appears that the tech sector has recovered some ground since the release of earnings from Microsoft, Alphabet, and Meta Platforms.

During Friday's session, Alphabet's stock price jumped by 11% as the company's results were higher than the forecast. Google's cloud division, in particular, showed pretty good performance and helped the company to improve its revenue by 28% y/y.

The data also showed an increase in the CapEx of Alphabet, which has touched a 3-month high of nearly $12 billion. According to the CEO, this number will be repeated for the rest of the year 2024.

According to an analyst, the CapEx of Alphabet was higher than the forecast of $10 billion. This allowed Nvidia and other AI stocks to gain an upside on Friday.

Despite the double-digit decline seen in the last few days, Nvidia staged a 5% rally on Friday. Elsewhere, Meta Platforms expects an increase in expenses in 2024 as it will increase its investment in AI-powered products. Meta Platforms is also expecting the higher spending spree to continue into the year 2025 as well.

The bottom line is that it was not a great week for the tech stocks at all. However, a recovery wave was seen on Friday, which will likely extend to the next as well.

Even if we keep the recent declines in Nvidia aside for a moment, there's no doubt that the stock is trading at historic highs.

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