NVIDIA’s Stock Price Ahead of Key Events This Week

Market Focus on Two Major Developments

This week, markets are closely watching two important events: the release of NVIDIA’s quarterly earnings report, and the US Personal Consumption Expenditures (PCE) report for July, the Federal Reserve’s preferred inflation gauge.

NVIDIA’s significance lies in its extraordinary rally, with its stock price surging more than 300% since the start of last year. The company’s market capitalization has now surpassed $4 trillion, overtaking Apple to become the largest component of the S&P 500 Index, representing nearly 8% of the benchmark.

The company’s strength is further supported by its robust client base, which includes tech giants such as Amazon, Alphabet (Google’s parent), and Meta (Facebook’s owner). Meanwhile, options market positioning suggests investors are bracing for a potential 6% price swing (in either direction) depending on the outcome of the earnings report.

Federal Reserve Challenges

Federal Reserve policymakers continue to face the difficult task of balancing persistent inflationary pressures with a weakening labor market. Inflation remains above the Fed’s 2% target, due to tariffs imposed by the new Trump administration, whose effects have become more pronounced since implementation.

At the same time, the labor market is showing signs of strain, with a slowdown in job creation. This creates a policy dilemma: addressing inflation would argue for tighter monetary policy, while supporting the labor market would require easing.

Another emerging challenge is the Fed’s independence. President Trump has repeatedly criticized Fed Chair Jerome Powell for not cutting rates and has recently threatened to dismiss FOMC member Lisa Cook, accusing her of mortgage fraud. Such tensions underscore the political pressures confronting the central bank.

NVIDIA Stock – Daily Chart Outlook

Last week, NVIDIA’s stock price climbed to a new all-time high of 183.94 before pulling back on profit-taking. The stock is now trading within a zone of 183.94 and153.13.

• Bullish Scenario: A daily close above high end of the zone could pave the way for additional gains, with upside potential toward 200.00. In this case, the 190.00 resistance level should be closely monitored.
• Bearish Scenario: A daily close below 153.13 would likely signal the end of the current uptrend and could trigger a decline toward 129.04. That said, the 140.88 support level should be monitored.

NVIDIA – Daily Price Chart

Chart Source: ADSS Platform