Why the Trump-Biden debate debacle isn't shaking the confidence of excited tech investors
Why are AI companies less affected by political concerns?
AI companies are less affected by political concerns due to their strong outlook for profits and cash flow, and their fast expansion. The political environment is not expected to change significantly under either candidate, which contributes to the stability of AI companies. Additionally, Washington's understanding of the profound and structural changes brought by AI lags behind, further insulating AI companies from political worries.
How did Apple and Microsoft stocks react to the debate?
Apple and Microsoft stocks showed little reaction to the debate. Nvidia recently climbed to a $3.34 trillion market cap, making it the world's most valuable company. Apple shares barely budged and are only down slightly from their 52-week high of $220. Microsoft held firm as well, down just a hair from the record high it closed on June 27.
What was the market response to Nvidia's valuation post-debate?
Nvidia's valuation remained relatively stable post-debate, with shares trading mostly sideways. Tech investors focused on the strong outlook for profits and cash flow, and AI companies' expansion shielded them from political concerns. Nvidia's market cap stood at $3.34 trillion, making it the world's most valuable company at the time.