💵 Nvidia aced it

Nvidia's update had investors falling in love | A recession hit Germany| [TOGETHER WITH]( Hi {NAME}, here's what you need to know for May 26th in 3:10 minutes. It’s 2023: these days, crypto doesn’t have to be cryptic. So join Dara Albright, host of the Decent Millionaire Podcast, for [Three Reasons To Invest In Crypto Right Now]( next Tuesday and unravel some of the knotty secrets of Bitcoin, Ethereum, and Co. [Get your free ticket]( Today's big stories - Nvidia’s show-stopping second-quarter guidance lit a fire under the stock - Bank of America sees stocks climbing the “wall of worry” – [Read Now]( - Germany fixed a miscalculation and realized it's in a recession AI Capone [AI Capone] What’s going on here? Nvidia, the AI chipmaker, reported [results]( that blew past expectations on Wednesday – and investors lost no time snapping up its stock. What does this mean? Nvidia’s first-quarter results weren’t just good, they were a whole “hold my beer” moment for the tech world. And while revenue – which outdid predictions across all divisions – was impressive enough, it was Nvidia’s guidance that really stole the show: the firm forecast second-quarter revenue of $11 billion, a whopping 40% more than Wall Street wizards were expecting. It looks like that success is being driven mainly by Nvidia’s data center business, which produces the high-tech chips that are fueling the AI revolution. Unsurprisingly, these results had shareholders dancing in the streets – sending shares up by an astounding 26% after the market closed. Why should I care? For markets: Blue-sky valuation. Investors might balk at Nvidia’s staggering valuation, but supercharged growth stocks can require a touch of imagination: after all, Nvidia’s hitched its wagon firmly to the AI star, so it’s hard to imagine a limit to its opportunity. That’s put the firm in a bit of a sweet spot, because its almost unimaginable future has given it an almost unimaginably expensive valuation to boot. And sure, a reality check could easily bring those lofty imaginings back to earth – but for now, Nvidia’s cruising high on the strength of its promising potential. The bigger picture: A many-horse race. Nvidia’s emerging as the godfather of AI, but other chipmakers are bound to want a piece of the action sooner or later. And while that’s unlikely to see Nvidia swimming with the fishes – the AI market is likely big enough for more than one tech titan, after all – investors should look over their shoulders for any other up-and-coming capo dei capi too. You might also like: [Nvidia could still go a lot higher.]( Copy to share story: [/ai-capone]( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=AI Capone&utm_campaign=daily-global-26-05-2023&utm_source=email) Analyst Take Stocks Are Climbing A “Wall Of Worry” And It Sounds More Doomy Than It Is [Stocks Are Climbing A “Wall Of Worry” And It Sounds More Doomy Than It Is]( By Paul Allison, Analyst [Stock markets]( climb the “wall of worry” and fall down the “slope of hope”, or so the saying goes. Right now, it might seem entirely unclear [which way the ground is tilted]( – whether we’re on that wall of worry, ascending despite investor fears, or on that slope of hope, in a general downtrend interrupted by optimism-driven rallies. But, the way I see it, this market is slanted upward, and the analysts at investment house [Bank of America]( seem to agree. That’s today’s Insight: [three indicators that suggest the stock market is ascending its wall of worry.]( [Read or listen to the Insight here]( SPONSORED BY SWISSQUOTE Make sure your portfolio survives in a greener future Look, money’s nice, we can all agree on that. But as any decent Netflix exposé will show you, firms that only watch the dollar signs can miss [the bigger picture](. After all, as we keep changing our lifestyles, a whole heap of polluting and harmful industries will likely fall out of favor. So if you care where you put your money, you might like [Swissquote](: there, you can [filter stocks based on their environmental, social, and governance scores]( to find out if they’re do-gooders. Ones with a future focus could be more likely to benefit from the green transition. And at the end of the day, [making money from a sustainable company]( feels a lot better than backing a bad egg. Doing good never felt so good: you can [get up to €500 just for funding or transferring to a Swissquote account before May 30th](. [Find Out More]( When you support our sponsors, you support us. Thanks for that. Down Goes Deutschland [Down Goes Deutschland] What’s going on here? Data out on Thursday [showed]( that Germany, the industrial titan of Europe, belly-flopped into a recession last quarter. What does this mean? Germany’s economy shrank by 0.5% in the last quarter of 2022, so when reports for the first quarter of this year showed zero growth, economists heaved a sigh of relief. See, stagnation isn’t pretty, but it’s better than the true bogeyman – a “technical recession”, when an economy shrinks for two straight quarters. But there’s been a plot twist: revised figures just revealed a 0.3% contraction in the first quarter of this year. Cue the dramatic music – because that means Germany’s in its first recession since the pandemic. The main culprit was household consumption, with spending on everything from food to finery taking a nosedive as consumers tightened their belts. But even in other areas, the writing was on the wall: after all, indicators for the all-important manufacturing sector have been flashing red for some time now. Why should I care? The bigger picture: The worst is yet to come. This isn’t just a short-term hiccup for Germany. The country’s firms are already catching a chill, with business confidence slipping for the first time in seven months in May – and the IMF’s tipped Germany to emerge as the worst-performing big economy this year. With a series of rate hikes on the horizon too, households and businesses are set for an even tighter squeeze. That’s bad news for the eurozone: as the biggest economy in the bloc sinks, the rest of the crew could be dragged down with it. Zooming out: Misery will have company. The US is expected to join the recession club by the second half of the year – with the debt limit debacle only adding to its woes. See, that situation’s essentially a lose-lose: a prolonged political standoff would hurt the economy, but any deal will probably come with spending cuts that’ll do serious economic damage too. You might also like: [Five reasons to consider European stocks now.]( Copy to share story: [/down-goes-deutschland]( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Down Goes Deutschland&utm_campaign=daily-global-26-05-2023&utm_source=email) 💬 Quote of the day "If you look for the bad in people, you will surely find it." – Abraham Lincoln (the sixteenth president of the United States) [Tweet this]( SPONSORED BY SWISSQUOTE You can do good for your portfolio today, tomorrow, and years from now If you want to change the world, you could donate to charity or volunteer your precious time. But hey, you already knew that. What you might not have considered, though, is that you could give [companies that are working to change the world]( a helping hand – simply by [investing](. With [Swissquote](, you can find companies that are making money and a positive impact, or even specifically filter out industries that do some not-so-nice stuff, like weapons or animal testing. Remember, [world-friendly companies]( are likely to be in high demand in the future, as countries around the globe work to meet [net-zero targets](. And if a pat on the back from Mother Nature isn’t enough for you, maybe this is: [Swissquote is giving out up to €500 if you fund or transfer an account before May 30th](. [Explore Swissquote]( 🌍 Finimize Live 🥳 Coming Up In The Next Week... All events in UK time. 3️⃣ [Three Reasons To Invest In Crypto Right Now](: 5pm, 30th May 💥 [A Guide To Impact Investing 2.0](: 1pm, June 1st 👀 And After That... 🌎 [The ESG Revolution: Investing with Purpose](: 6pm, June 8th 🙋‍♀️ [Finimize Ladies Investing Club](: 6.30pm, July 13th 🎉 [Modern Investor Summit 2023](: 12pm, December 5th and 6th 🎯 On Our Radar 1. Humanity’s uber-nanny. Here’s why Musk’s worried [about AI](. 2. Living it (too) large in Lisbon. US expats in Portugal have driven up [the cost of living](. 3. Venice of the US. New York’s sinking under [its own weight](. 4. Get ready for ChatGPT-5. It might be poised to [change the world](. 5. Not so “biodegradable”. Looks like green-friendly plastic doesn’t actually [break down]( in the ocean. ❤️ Share with a friend Thanks for reading {NAME}. If you liked today's brief, we'd love for you to share it with a friend. You stay classy, {NAME} 😉 We’d love to hear your thoughts. [Give feedback]( Want to advertise with us too? [Get in touch]( Image Credits: Image credits: Midjourney | Midjourney Preferences: [Update your email]( or [change preferences]( [View in browser]( [Unsubscribe]( from all Finimize Emails 😴 Crafted by Finimize Ltd. | 280 Bishopsgate, London, EC2M 4AG All content provided by Finimize Ltd. is for informational and educational purposes only and is not meant to represent trade or investment recommendations. You signed up to this mailing list at finimize.com or through one of our partners. © Finimize 2021 [View Online](