Markets Teeter On Incoming CPI News 🗞️, $TSLA Sees its 9th straight day of gains, $NVDA Runs on Analysts Target Raising 🚨
Another Monday, another start of the month so this means another opportunity for investors to search for clues about the short term path of interest rate cuts being delivered. Lets take a look at the big 3’s performances today:
The S&P500 hugged the flatline like a kid being dropped off at pre-school
The tech-heavy Nasdaq Composite only inched up 0.1% after a record day Friday
The Dow Jones Industrial Average gets back on the struggle bus and erased earlier session gains to drop 0.2%
Last Friday the labor market reports showed signs of cooling which has signaled for our indexes to keep going for new record highs. This report has led to investors betting on a rate cut betting on a rate cut coming in September, according to CME Fedwatch tool latest reading 3/4 investors are expecting this. If we do see that rate cut then could see $600 by EOY which would be in line with the aggressive price targets put out by banks and analysts alike. Recent momentum showing favorite towards a cut there are multiple events this week that can strengthen that narrative:
Fed Jerome Powell is set to appear in Congress tomorrow and Wednesday for his semiannual testimony
On Thursday we will get the latest Consumer Price Index print with an expectation of 3.1% rise of inflation YoY which would put us at a similar level where CPI started in January
continues its incredible run notching its 9th straight day of gains in the market today 🎯 rising 0.6% in todays session. This has erased the losses year to date in a very quick turn around period. Shares have seen a 75% rise since the EV maker hitting a 52-week low in April. This momentum is coming on the heels of a VERY positive quarterly deliveries report last week and its “not so talked about sector” energy storage business.
Tesla is set to report quarterly earnings on July 23rd after market close, Analysts are also waiting for August 8th when the company is set to unveil its much-anticipated robo-taxi. Wedbush managing director Dan Ives raised his target on the stock to $300/share from previous $275.
UBS & Wolfe Research Raise Target On Stock Rises 📈
Nvidia’s stock price edged higher on Monday after analysts from UBS and Wolfe Research raised their price targets to $150 per share. This increase in price target is due to the strong demand momentum for Nvidia’s Blackwell chips, particularly in the data center market. UBS cited robust sentiment for Blackwell rack scale systems, which has recently faded, creating a “wall of worry” that could ultimately be healthy for the stock if their outlook materializes.
The analysts’ estimates for Nvidia’s earnings per share (EPS) are significantly higher than the consensus estimate of $3.69 for 2025. UBS predicts EPS could reach $5 per share, while Wolfe Research estimates it could be around $4 per share. These estimates are based on channel checks and conversations with buyers, which indicate high demand for Nvidia’s products. This contradicts the naysayers’ concerns about Nvidia’s slowing growth trajectory, and the analysts believe the company can continue to grow at a rapid pace.
