U.S. stocks extend gains on Nvidia’s strength in late trading following Apple in early trading

09/23 U.S. stocks extend gains on Nvidia’s strength in late trading following Apple in early trading

The U.S. stock market opened for profit-taking following the recent rise, but Apple (+4.32%) started slightly lower following last Friday. In the meantime, Fed members insisted on being cautious about cutting interest rates, but it rose when Steve Miran, director of the Fed, insisted on lowering interest rates by 125 basis points this year. In particular, the index’s rise widened as Nvidia (+3.93 percent) surged by announcing a partnership with OpenAI. However, the differentiation of stocks and industries continues due to the differentiation according to the stock issues of companies related to H1-B visas and TikTok (Dow +0.14%; Nasdaq +0.70%; S&P 500 +0.44%; Russell2000 +0.59%; Philadelphia Semiconductor Index +1.57%)

*Factors to Change: Fed Member’s Remarks, Retail Investors Invest in YOLO

Since the FOMC, financial markets, including stock markets, have changed, reflecting expectations of the Fed’s continuous rate cuts. Earlier in the day, Fed members continued to say that they should be cautious about cutting interest rates. New York Fed President John Williams speaks cautiously. St. Louis Fed President Musalem and Bank of Richmond Governor Barkin announce they are limited to further rate cuts, citing inflation and job insecurity, respectively. Atlanta Fed President Bostic insists on a rate freeze this year. On the other hand, board member Steve Miran insists on a 125 basis point cut in the remaining two FOMCs this year to protect the job market.

As such, most Fed members have been cautious about further rate cuts, especially referring to concerns over rising prices due to tariffs. Related remarks led to a strong dollar and rising interest rates, which also caused anxiety in the market. However, the stock market tends to focus more on positive factors. At 1 a.m. Korean time, Steve Miran’s remarks on a rate cut led to the weakening of the dollar and the reduction of the interest rate on government bonds. At that time, the stock market has expanded to the AI industry thanks to the news that Nvidia (+3.93 percent) signed a letter of intent to partner with OpenAI.

Meanwhile, it’s also worth noting that Better Home and Properties (+46.61%) soared. When Eric Jackson claimed to be a shopper in the mortgage industry and predicted that it would grow 350 times in two years. Jackson attracted attention among individual investors in July by driving the surge, claiming that it would increase the open door, which was trading below $1 by 100 times, and his remarks can again be seen as triggering a meme-stock-like buying spree. In addition, many of the small and medium-sized stocks have seen a double-digit increase due to some favorable factors.

As such, it is highly evaluated that individual investors are focusing on zero-day options, meme stocks, and leverage investments, so-called “YOLO investments.” Today, the S&P 500 also rose as Nvidia’s announcement introduced aggressive buying into AI-related stocks. Russell 2000, which is highly interested in individual investors, is characterized by the influx of concentrations centered on bio stocks amid sluggish finance and differentiation. Recently, the market has been paying attention to short-term trading and the volatility of stocks is expanding, and the volatility of stocks continues to expand

*Featured Stocks: Apple, Oracle, Nvidia Bullish

NVIDIA and OpenAI Collaborate
NVIDIA (+3.93%) Announces Intent to Strategic Partnership With OpenAI To Build Next Generation AI Infrastructure. The move will see OpenAI build at least 10 gigawatts of AI data centers using Nvidia systems, with Nvidia announcing plans to invest $100 billion in OPenAI. CEOs of both companies told media that humanity will face an era of computing shortages as billions of GPUs are needed. TSMC (+2.93 percent) is also strong. AMD (+1.52 percent), which was rising, has seen its strength partially shrink. Broadcom (-1.61%) fell on news of Nvidia’s partnership with OpenAI. Philadelphia’s semiconductor index rose 1.57%

Semiconductor Industry and AI-Related Stocks
Micron (+1.16 percent) rose on news that strong momentum of DRAM and NAND will announce positive results in earnings announcement after the market closes on Sunday. AMAT (+5.48 percent) rose on news of an upward revision of its target stock price. Other chipmakers such as RAM Research (+4.16 percent) also rose. Terrorist Dine (+12.79 percent) surged on news that its growth is accelerating due to AI chip testing and collaboration with TSMC. Most AI-related service companies rose, including Coreweave (+6.70%), Nevis (+7.34%) and UI Pass (+10.70%), C3AI (+3.41%) and Paladine AI (+11.01%). News of the cooperation between Envida and OpenAI is believed to have prompted individuals to aggressively buy into related companies.

Electric Vehicle: Tesla Returns Part Of The Rise Amid Weakness In The Slip After Rise Start
Tesla (+1.91%) rose after Piper Sandler raised its price target to $500 following news of Arizona’s approval of autonomous driving with a driver. Of course, news of a 27% drop in registration of existing branded vehicles due to the expiration of electric vehicle tax benefits and lawsuits related to FSD in China continued, but the impact was limited and the company was sensitive to good news. Rivian (+5.98%) and Lucid (+6.35%) also rose due to the influx of buying by individual investors. Secondary batteries such as Quantum Skape (+0.15%) are flat, while lithium-related stocks such as Albemarle (-1.78%) and SQM (-0.41%) are down. GM (-0.17%) and Ford (+0.34%) are also fluctuating

Big Tech Stocks: Apple Continues Its Rise and Other Corporate Slack
Apple (+4.32 percent) reported better-than-expected sales results for the iPhone 17, while T-Mobile CEO T-Mobile said that the new iPhone is driving customers to upgrade their devices. Wedbush also raised its price target to $310, saying demand for the iPhone 17 increased 10-15 percent. Amazon (-1.66%), Microsoft (-0.67 percent), Alphabet (-0.92 percent), and Meta Platforms (-1.63%) fell due to employment insecurity issues stemming from increased fees for H-1B visas. In particular, most companies have hired technical workers through H-1B visas