Uh oh... Nvidia said on Tuesday that it will take a quarterly charge of about $5.5 billion tied to exporting H20 graphics processing units to China and other destinations. The stock slid almost 5% in extended trading.
Not for too long though. Somewhere between 475 and 500, it's gonna snap. Bring that bear suit out of the closet and get ready. This might be your only chance, homey.
The problem is not the writedown itself but the reason for it: trade between two of the largest economies halting to a grind.
Perspective is last months profit was $22B ( sequentially up every quarter ). Huge margins. They can afford this one time charge. But thanks Trump for the extra expenses the man is a gift. I'm inclined to think it's a stock to watch. TSX in Canada is up today the commodity areas are quite strong. My thesis has been commodity supply shortages will be exasperated by trade wars leading to strong pockets in the market similar to lumber stocks in Trump term one. Copper and Silver are my main plays, but Oil is a periodic trade the stocks are oversold.
So much delusion topped perhaps only by that Press Secretary who is a ridiculous propaganda puppet. Canada making progress on alternate trade strategies. Honda says they will continue to make cars in Canada perhaps GM is toast here who knows.