Is Nvidia Stock Recession-Proof? The Answer Might Surprise You.

Nvidia (NASDAQ: NVDA) stock has gone from blowing away the stock market in the first half of the year to whipsawing back and forth on seemingly small news items.It's unusual to see swings that amount to $200 billion in market value being added or taken away in just a single session. That's life for a stock worth nearly $3 trillion, though. Since Nvidia's stock hit an all-time high on June 20, it's moved up or down by 5% or more in 15 sessions, a reflection of the stock's own volatility and investor uncertainty around where Nvidia is heading. The artificial intelligence (AI) superstar has also shown itself to be particularly sensitive to macroeconomic data as well as bets about the direction of interest rates and the greater economy. For example, Nvidia stock jumped 4.5% on Aug. 23 when Federal Reserve Chair Jerome Powell said the "time had come" to lower interest rates. On Sept. 6, the stock pulled back 4% on a weak unemployment report, sparking concerns about the economy, and it jumped 8% on Sept. 11 as a cooler-than-expected inflation report reinforced confidence in an interest rate cut next week.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool