Nvidia CEO Jensen Huang spoke at the Consumer Electronics Show in Las Vegas on January 6, 2025, as U.S. stocks, including the S&P 500 and Nasdaq Composite, posted back-to-back gains. Nvidia’s shares closed at a record high, reflecting ongoing enthusiasm for artificial intelligence (AI) technologies. However, Tencent’s stock plunged 7% after being included in a U.S. Department of Defense list of “Chinese military companies.” Concurrently, Nippon Steel reaffirmed its commitment to acquiring U.S. Steel amid legal challenges against President Biden’s administration blocking the deal.
Nvidia announced new AI-ready graphics chips, showcasing its commitment to the booming AI market. Foxconn reported a record fourth-quarter revenue increase, driven by its cloud and networking products, emphasizing the sustained demand for AI applications. Despite positive tech sector movements, including a 3.4% rise in Nvidia’s stock, analysts warn of potential market volatility due to high valuations. The year ahead could present challenges, with expectations for tech earnings growth outpacing broader market projections. The market is optimistic, but the real test will be whether companies can effectively use AI to enhance revenue, rather than just inflate stock prices.
