October 29, 2024 at 06:42PM
The Nasdaq is putting on a brave face as we count down to some major earnings releases. The index is at the highs of the day, up 0.8% on strength from chipmakers and Meta.
Another solid gainer is Alphabet as it rises 1.9% to the highest since August 1 as it gets set to report earnings after the bell. That’s a nice looking move above resistance ahead of the report and could reflect short covering.
It could also reflect a company that many people think will be a long-term loser in AI due to people shifting to ChatGPT for search (something I’m certainly doing). However that long-term trend is likely running into a short-term positive trend for spending on digital advertising and a decent economy that’s likely to highlight a company trading around 21x earnings and with many growth levers to pull on.
More broadly, we will be looking for signs of AI spending going forward from Google and also from tomorrow’s reports from MSFT and META, followed by Thursday’s reports from AAPL and AMZN.
This article was written by Adam Button at www.forexlive.com.
