Here's Everything You Need To Know Today

The madman actually did it. Nvidia stood tall amidst all this market scrutiny and posted revenue growth that actually lived up to the hype.

Every market cycle—there is one unfathomable stock that pulls off brain-breaking growth no matter how overbought it seems. Thousands of bear investors have burned tens of billions of dollars trying to short names like this—but this economy hates pessimism more than anything else.

For the last 5 years, Tesla was that company. No matter how impossible their growth targets were, bears were wiped out trying to short the name. Now, shorting Tesla is easy money while the company burns billions trying to will a visual full self-driving algorithm into existence and build humanoid robots.

Nvidia has done the near-impossible and taken on the mantle of bear-breaker. Once again, the AI revolution has (temporarily) proven itself with Nvidia somehow growing their revenue over 265% year-over-year (YoY).

The rest of the market is honestly in turmoil because a revenue miss followed by a quick, broad correction would make more sense. But now, the AI market has an even stronger foundation and even wilder price action is set to follow. Eventually, some names will fail to live up to market expectations and fall. But for now, the music is playing louder and faster than ever and bulls are in firm control of the price action.

So, let’s unpack Nvidia’s astonishing results and see what other big moves the market is making.

The NASDAQ is trading with a lot of volatility after Palo Alto Networks ($PANW)—the sure-fire king of cybersecurity—reduced their guidance for 2024 in last night’s Q4 earnings report. Palo Alto Networks has been pretty heavily hyped in the last few months, and as such they became a primary stock that traders bought into the rally a little too hard.