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The stronger-than-expected Services PMI reported on Monday injected optimism into the stock market. There was also some relief as news hit that the April 2 implementation of tariffs may be scaled back.

On Tuesday, however, the market hit the brakes and stalled the upside momentum. Consumer confidence fell by 7.2 points in March, a sign that U.S. consumers are worried about the economic outlook. This, along with uncertainty about tariffs and other policies, will likely remain the focus in investors’ minds.

The bigger focus should be on whether the recent upside move in the broader stock market indexes has legs. Let’s shift our attention to the charts of the broader markets.

The Technical Picture

In the daily chart of the S&P 500 below, the index crossed above its 200-day simple moving average (SMA) on Monday, a big hurdle for the index to overcome. Alas, the lack of follow-through on Tuesday could mean the 200-day may now act as a support level. The index could also bust through its January lows and start moving up toward its 50-day SMA.

FIGURE 1. S&P 500 INDEX BROKE ABOVE 200-DAY SIMPLE MOVING AVERAGE. Will the index break above its January lows? That would be the next big hurdle.Chart source: StockCharts.com. For educational purposes.

Market breadth is showing signs of expanding, with the S&P 500 Bullish Percent Index above 50, the NYSE Advance-Decline Line starting to trend higher, and the percentage of S&P 500 stocks trading above their 200-day SMA shy of 50%.

The picture isn’t as positive for the Nasdaq Composite as it is for the S&P 500. The Nasdaq is approaching its 200-day SMA, and market breadth is showing signs of improvement, although slight (see chart below).

FIGURE 2. DAILY CHART OF THE NASDAQ COMPOSITE. The index is approaching its 200-day SMA while its breadth is showing slight signs of expanding.Chart source: StockCharts.com. For educational purposes.

Of the three broader indexes, the Dow is the one showing the most promising upside move (see chart below). Like its close cousins, it crossed above its 200-day SMA, but its market breadth has expanded more than the S&P 500 and Nasdaq. Its BPI is at 60 and the A-D Line is relatively high. The percentage of Dow stocks trading above their 200-day SMA is at 19%, but remember, the Dow has only 30 stocks in the index.

FIGURE 3. DAILY CHART OF THE DOW JONES INDUSTRIAL AVERAGE. The 200-day SMA is now a support level. All three breadth indicators are showing signs of rising.Chart source: StockCharts.com. For educational purposes.

Small-cap stocks have lagged the larger indexes and, even though the S&P 600 Small Cap Index ($SML) bounced off its March 13 low, there’s not enough follow-through to carry small caps higher. Replace the symbol in any of the above charts with $SML.

Bonds turned around on Tuesday in response to the weaker consumer confidence data. The 10-year U.S. Treasury Yield Index ($TNX) rose until the consumer confidence data was released, after which it slid lower. This was the move that should have raised eyebrows.

Bond Yields Also Teeter-Totter

Movements in Treasury yields are very telling about the state of the economy. To keep tabs on the movement in Treasury yields and the U.S. dollar, investors should monitor the Japanese yen. This may not be something you usually look at, but, given we’re in an environment where conditions change from one day to the next, it’s helpful to add a chart of the U.S. dollar relative to the yen in your ChartLists.

The daily chart of $USDJPY below has an overlay of the 21-day exponential moving average (EMA). The bottom panel monitors the performance of the 10-year yields.

FIGURE 4. DAILY CHART OF THE U.S. DOLLAR VS. JAPANESE YEN. The currency pair gives an idea of the overall health of the U.S. economy.Chart source: StockCharts.com. For educational purposes.

Generally, when U.S. Treasury yields fall, the U.S. dollar weakens relative to the yen. On Monday, the dollar rose relative to the yen when equities and Treasury yields rose, but fell on Tuesday, in conjunction with the fall in yields. You can see the close correlation between the two in the chart above.

On Monday, $USDJPY broke above the 21-day EMA. On Tuesday, the EMA acted as a support level. Can the dollar hold on to this support level and continue to strengthen relative to the yen? Yields generally rise when the economy is growing, so monitoring this chart regularly will give you a general idea of how the U.S. economy is performing.

Other Market Activity

Sector rotation was all over the place, moving back and forth from offensive to defensive. On Tuesday, Utilities, Health Care, and Real Estate were the worst-performing sectors. Communication Services, Consumer Discretionary, and Financials were the best-performing sectors. However, the change was modest, so there’s not enough to confirm a move from offensive to defensive or vice versa.

Closing Bell

Overall, the market isn’t showing convincing directional movement. Tuesday’s market activity was a bit like watching paint dry—not too exciting relative to what we have seen in the last few weeks. The upside move we saw since Friday seems to have slowed. The Cboe Volatility Index ($VIX) eased and closed at around 17, so today’s lackluster price movement didn’t do anything to make investors fearful.

The most important data this week will probably be the February PCE, which is released on Friday. Let’s see if that stirs things up.


Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.

Investors have closely watched Nvidia’s week-long GPU Technology Conference (GTC) for news and updates from the dominant maker of chips that power artificial intelligence applications.

The event comes at a pivotal time for Nvidia shares. After two years of monster gains, the stock is down 15% over the past month and 22% below the January all-time high.

As part of the event, CEO Jensen Huang took questions from analysts on topics ranging from demand for its advanced Blackwell chips to the impact of Trump administration tariffs. Here’s a breakdown of how Huang responded — and what analysts homed in on — during some of the most important questions:

Huang said he “underrepresented” demand in a slide that showed 3.6 million in estimated Blackwell shipments to the top four cloud service providers this year. While Huang acknowledged speculation regarding shrinking demand, he said the amount of computation needed for AI has “exploded” and that the four biggest cloud service clients remain “fully invested.”

Morgan Stanley analyst Joseph Moore noted that Huang’s commentary on Blackwell demand in data centers was the first-ever such disclosure.

“It was clear that the reason the company made the decision to give that data was to refocus the narrative on the strength of the demand profile, as they continue to field questions related to Open AI related spending shifting from 1 of the 4 to another of the 4, or the pressure of ASICs, which come from these 4 customers,” Moore wrote to clients, referring to application-specific integrated circuits.

Piper Sandler analyst Harsh Kumar said the slide was “only scratching the surface” on demand. Beyond the four largest customers, he said others are also likely “all in line looking to get their hands on as much compute as their budgets allow.”

Another takeaway for Moore was the growth in physical AI, which refers to the use of the technology to power machines’ actions in the real world as opposed to within software.

At previous GTCs, Moore said physical AI “felt a little bit like speculative fiction.” But this year, “we are now hearing developers wrestling with tangible problems in the physical realm.”

Truist analyst William Stein, meanwhile, described physical AI as something that’s “starting to materialize.” The next wave for physical AI centers around robotics, he said, and presents a potential $50 trillion market for Nvidia.

Stein highliughted Jensen’s demonstration of Isaac GR00T N1, a customizable foundation model for humanoid robots.

Several analysts highlighted Huang’s explanation of what tariffs mean for Nvidia’s business.

“Management noted they have been preparing for such scenarios and are beginning to manufacture more onshore,” D.A. Davidson analyst Gil Luria said. “It was mentioned that Nvidia is already utilizing [Taiwan Semiconductor’s’] Arizona fab where it is manufacturing production silicon.”

Bernstein analyst Stacy Rasgon said Huang’s answer made it seem like Nvidia’s push to relocate some manufacturing to the U.S. would limit the effect of higher tariffs.

Rasgon also noted that Huang brushed off concerns of a recession hurting customer spending. Huang argued that companies would first cut spending in the areas of their business that aren’t growing, Rasgon said.

This post appeared first on NBC NEWS

DoorDash and Klarna are joining forces to let users pay for meal deliveries with installment loans, calling it “essential to meeting our customers’ needs.” Not everyone sees it that way.

The announcement has drawn a flurry of criticism on social media, less directed at the companies themselves than questioning what the need to use a “buy now, pay later” service for food orders says about the increasingly debt-ridden economy.

“Eat now, pay later? A credit apocalypse is coming,” an X user wrote Thursday when the partnership was announced.

Another X poster used a photo of a forlorn-looking Dave Ramsey, the personal finance pundit, with the caption, “what do you mean you have $11k in ‘doordash debt’.”

Others whipped up “Sopranos” memes, quipping about “DoorDash debt collection outside your door because you missed a Chipotle payment.”

The economic commentator Kyla Scanlon said in a social media video that the deal was another example of the “gambling economy.”

“We have memecoins, sports betting — we love a good vice in the United States, and we can do it completely frictionless,” she said. “We don’t even have to put on pants. Just app it to you and worry about everything else later.” She added that “there are real winners and losers” in business models that monetize not just convenience but “impulsivity.”

Klarna, which is preparing for an initial public offering, is among the BNPL providers that have surged into virtually all corners of the consumer economy since the pandemic, such as Afterpay, Affirm and Sezzle.

The lightly regulated financial services give users a variety of ways to pay for purchases; among the most popular are short-term loans that can typically be repaid in several interest-free installments. The companies make money by charging users for late or missed payments and merchants for the ability to offer BNPL loans at checkouts.

DoorDash said customers will be able to use Klarna for many types of purchases on its platform, not just small-dollar food deliveries. They can pay in full up front, in four installments or else later on, “such as a date that aligns with their paycheck schedules.”

A Klarna spokesperson acknowledged the online pushback but said any form of borrowing for food purchases is potentially concerning, depending on the circumstances.

“If people are in a situation where they feel like they have to put their food on credit, that’s a bad indicator for society,” the spokesperson said.

Still, many people make “a rational decision” to use BNPL services to help manage their money, the spokesperson said, adding that the new features would be available only for DoorDash purchases of at least $35 — a few dollars more than the platform’s average order as of last March. “Wherever high-cost credit cards are accepted, consumers should be able to choose a zero-interest credit product, instead.”

Indeed, industrywide data shows the short-term loans have become a routine feature of many consumers’ wallets, particularly among young adults coping with inflation and with average credit card interest rates still near 20%.

The BNPL explosion coincides with record debt levels and mounting consumer pessimism. Total household debt exceeded $18 trillion at the end of last year, according to the Federal Reserve Bank of New York, with credit card balances comprising a record $1.2 trillion of that sum. Consumer sentiment fell this month to its lowest level since 2022, and borrowers’ expectations for missing debt payments in the next three months hit their highest level since 2020, the New York Fed found.

A spokesperson for DoorDash didn’t comment on the criticism of its partnership with Klarna, saying their collaboration “provides even more flexibility, control and options.” The delivery service noted that its users can already pay with Venmo and CashApp, as well as government aid, including SNAP benefits. Klarna is already available on the grocery delivery platform Instacart, and it recently replaced rival Affirm as Walmart’s exclusive BNPL partner.

Much of the concern over BNPL has focused on the potential effects on borrowers’ credit histories, which largely still don’t reflect use of the services despite years of discussions with credit-reporting bureaus to change that. Yet a study released last month by Affirm and the credit-scoring firm FICO showed most consumers with five or more Affirm loans saw no real downside to their credit scores, some of which actually increased. And consumers consistently rate BNPL products favorably in surveys. Last year, 89% of borrowers told TransUnion they were either satisfied or very satisfied with the services.

But personal finance experts and consumer advocates say the qualms kicked up by the DoorDash-Klarna deal reflect real financial risks.

“Making four payments to cover three tacos on Tuesday sounds complicated because it is,” said Adam Rust, director of financial services at the Consumer Federation of America, an advocacy group. “I wouldn’t characterize this as a solution. It is a fintech innovation that creates problems.”

Not only might users face Klarna’s own late fees, he said, but “once customers consent to repay with automatic debits, they risk additional overdraft fees” from their banks.

Rust also highlighted recent work by the Consumer Financial Protection Bureau that remains in jeopardy or has been stopped altogether as the Trump administration defangs the agency.

The CFPB recently granted BNPL customers more ability to dispute charges and get refunds, but with staffers ordered to stop all enforcement activity last month, former employees and consumer advocates believe the rule has been rendered moot. A trade group representing fintech businesses, including some BNPL lenders but not Klarna, asked the Trump administration this month for an exemption from a law scheduled to take effect next week requiring certain lenders to verify borrowers’ ability to repay loans before they front them money.

Financial planners have long cautioned clients against budgetary strains from BNPL overuse. Even some borrowers themselves who’ve spent heavily with the services have begun warning others of their risks, saying they make it easy for cash-strapped users to rack up debts that are tough to pay off.

“Eat now, pay later is an awful trap,” Douglas Boneparth, president of Bone Fide Wealth, an advisory firm focused on millennials, wrote on X last week. “If you need to borrow to have a burrito delivered to you, you are the product. Nothing more.”

This post appeared first on NBC NEWS

Energy Jumps to #2

A big move for the energy sector last week as XLE jumped to the #2 position in the ranking, coming from #6 the week before. This move came at the cost of the Consumer Staples sector which was pushed out of the top-5 and is now on #7.

Because of the jump of Energy, the Financials sector was pushed down to #3. Healthcare and Utilities remain in the top-5 but have switched positions.

The New Sector Lineup

  1. (1) Communication Services – (XLC)
  2. (6) Energy – (XLE)*
  3. (2) Financials – (XLF)*
  4. (5) Utilities – (XLU)*
  5. (4) Healthcare – (XLV)*
  6. (7) Industrials – (XLI)*
  7. (3) Consumer Staples – (XLP)*
  8. (8) Real-Estate – (XLRE)
  9. (9) Consumer Discretionary – (XLY)
  10. (10) Materials – (XLB)
  11. (11) Technology – (XLK)

Weekly RRG: XLF and XLC remain strong

On the weekly Relative Rotation Graph, Communication Services and Financials remain strong inside the leading quadrant. From the big cluster of tails inside the improving quadrant, XLE has jumped to the front of the queue (almost) while XLU and XLV continue to pick up nicely.

The long tail on XLY at a negative RRG-Heading rapidly continues to push the sector to the lagging quadrant. The Negative RRG-Heading on XLK keeps the sector at the bottom of the list.

Daily RRG: Modest Pickup of Relative Momentum for XLK and XLY

On the daily RRG:

  • XLE jumps to the highest RS-Ratio reading while maintaining the highest RS-Momentum.
  • Utilities stall inside the lagging quadrant
  • XLV rotates into weakening but remains at an elevated RS-Ratio reading
  • XLF rotates back into the leading quadrant, signaling the start of a new leg in the already established relative uptrend.

Communication Services

XLC held above the rising support line and closed towards the high of the week, suggesting that a new higher low is now getting into place.

Relative Strength continues to be strong, and RS-Momentum bottoms against 100-level.

Energy

The Energy sector rapidly improved, jumping from position #6 to #2 in one week. On the price chart, XLE is breaking its falling resistance, which opens the way for a further rally to the horizontal barrier near 98.

The raw RS-line is close to leaving its two-year-old falling channel, which would signal a significant shift in sentiment and a turnaround into a relative uptrend.

Financials

XLF remains a strong sector in position #3, with relative strength continuing to rise.

Last week’s rally on the price chart brought the price back to the old rising support line, which is now expected to start acting as resistance. The former support from the low near 5o is also expected to start acting as resistance.

This means that the upside potential in terms of price seems limited for now, but RS is still going strong.

Utilities

Relative strength for Utilities continues to creep higher, enough to keep the sector inside the top 5.

Both price and RS remain within the boundaries of their trading ranges.

Healthcare

RS for the Healthcare sector stalled at the level of the previous low. The RS-Ratio and RS-Momentum combinations on the daily and weekly Relative Rotation Graphs remain strong enough to keep the sector in the top 5.

Portfolio Performance Update

In the portfolio, the position in Consumer Staples (XLP) was closed against the opening price of Monday morning (3/24). At the same time, a new position was opened in Energy (XLE) against the opening price.

The rally in Consumer Discretionary and Technology at the end of last week has put a small dent in the performance,e and RRGv1 is now 1.4% behind SPY since the start of the year.

#StayAlert, -Julius


Over the weekend it was announced that tariffs will be narrowing and possibly not as widespread as initially thought. Negotiations are continuing in the background and this seems to be allaying market participants’ fears. The market rallied strongly on the news.

Carl and Erin gave you their opinions of whether this rally has staying power. Carl began the program with a look at the current DP Signal Tables. Biases remain very negative but as we often say things get as bad as they’re going to get before they start turning it around.

After looking at the tables, Carl analyzed the market in general and then covered Gold, the Dollar, Yields, Bitcoin and more. Get a sense of market conditions with a review of this section.

The Magnificent Seven were next up on the agenda. Carl reviewed both the daily and weekly charts seeing many new rallies kicking in. Their improvements bode well for the market in general.

Erin took the reins and gave us a complete overview of sector rotation. She took a deep dive in the aggressive sectors with an under the hood view of Consumer Discretionary (XLY), Communication Services (XLC) and Technology (XLK).

Erin concluded the program by looking at viewer symbol requests that included SOFI, RIVN, F and SMCI.

01:18 DP Signal Tables

03:42 Market Overview

13:24 Magnificent Seven

22:05 Sector Rotation

28:31 Symbol Requests

Join us LIVE in the trading at Noon ET on Mondays by registering once here: https://us06web.zoom.us/webinar/register/WN_D6iAp-C1S6SebVpQIYcC6g

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Technical Analysis is a windsock, not a crystal ball. –Carl Swenlin


(c) Copyright 2025 DecisionPoint.com


Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.

DecisionPoint is not a registered investment advisor. Investment and trading decisions are solely your responsibility. DecisionPoint newsletters, blogs or website materials should NOT be interpreted as a recommendation or solicitation to buy or sell any security or to take any specific action.


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SCTR Ranking

Bear Market Rules


Markets surged out of the gate Monday morning, with all three major U.S. indexes notching early gains. But after a bruising two-week rout on Wall Street, the question facing investors is whether stocks can sustain the rebound.

If Monday’s bounce is driven more by short-term bargain hunting than long-term conviction, then certain scans, like StockCharts’ Strong Uptrends to New Highs can help cut through the noise — flagging the outliers breaking key levels and showing enough momentum to possibly hold the upward move.

How I Scanned the Market at the Open

First stop: A high-level sweep of the S&P 500 using MarketCarpets to catch the early movers. From there, I drilled down into the sectors to see where real strength, or weakness, was taking shape.

FIGURE 1. MARKETCARPETS S&P 500 AND SECTOR VIEW. The S&P 500 view gives you a sea of green, but zooming into sectors, Consumer Discretionary (XLY) stands out above the rest.

Consumer Discretionary is outpacing all sectors, a signal worth noting. Instead of looking for leadership, I considered stocks hitting new highs, and then checking to see if any Discretionary names stand out from the pack.

So, next, I ran a Strong Uptrends To New Highs scan (you can find it in your scan library).

FIGURE 2, IMAGE OF THE SCAN AS IT APPEARS IN THE LIBRARY: This is one among numerous bullish scans you can run in StockCharts.

Only four stocks came up as a result. The most recognizable figure is Darden Restaurants, Inc. (DRI).

Darden Restaurants Stock: A Tasting Menu of Profits or Bloat

Even if you’re unfamiliar with the stock, you know Darden. Here’s a short list: Olive Garden, LongHorn Steakhouse, Yard House, Ruth’s Chris Steak House, Cheddar’s Scratch Kitchen, Chuy’s, Bahama Breeze, and a few more. Sound familiar?

DRI jumped after reporting strong fiscal Q3 results, with sales and EPS rising. The company also raised its full-year outlook and declared a $1.40 dividend; analysts also gave it an upgrade.

On the technical side of things, DRI also showed up on several other scan engines which appeared in the StockCharts Symbol Summary:

  • Moved Above Upper Bollinger Band
  • Moved Above Upper Price Channel
  • P&F Double Top Breakout
  • Moved Above Upper Keltner Channel
  • New 52-week Highs
  • P&F Spread Triple Top Breakout

Let’s take a look at DRI’s relative performance against its sector (XLY) and the S&P 500 using PerfCharts.

FIGURE 3. PERFCHARTS OF DRI, XLY, AND $SPX.  DRI’s outperformance is very recent, according to this chart.

This chart tells an interesting story. DRI has been the laggard for most of the last 12 months, though it began picking up steam as XLY began outpacing the S&P 500. As tariff fears brought XLY valuations down toward S&P levels, DRI maintained its valuations, and after a two-week dip, shot higher.

Let’s take a longer-term look using a weekly chart.

FIGURE 4. WEEKLY CHART OF DRI. The dotted line shows this week’s breakout to all-time highs.

So, what does this chart tell us relative to the PerfCharts above? First, while DRI has been underperforming XLY and the S&P over the last year (and longer than that if you extend the PerfCharts analysis period), the stock has been chugging along on a slow and steady, albeit volatile, uptrend, staying well above its 200-period simple moving average (SMA).

The StockCharts Technical Rank (SCTR) line shows you that DRI has had periods fluctuating from technical strength to weakness. I consider the 70-line signal, more or less, to be the strength threshold, and right now, the stock is at 92, an extremely bullish level. The question now is whether it can maintain its trajectory and if so, might there be an entry point for those who are bullish on the stock?

For that, let’s shift over to a daily chart.

FIGURE 5. DAILY CHART OF DRI. Watch the momentum and volume.

DRI has been marching steadily upward since the middle of last summer, with its recent push to all-time highs fueled by strong fundamentals. However, in terms of momentum and volume, the Money Flow Index (MFI), which is a volume-driven RSI of sorts, has been declining during DRI’s rise, signaling the potential for a pullback.

Whether DRI can sustain its current momentum remains to be seen. In the meantime, the Ichimoku Cloud can help anticipate and gauge any potential pullback, with a broad support zone forming below. The first key level to watch is $192, while $180 marks a critical support line — a close below that could open the door to further downside.

At the Close

This scan-driven approach began with a broad market view and drilled down to individual stocks that made new highs while others merely rebounded. DRI emerged as a standout: a fundamentally strong name hitting new highs while much of the market remains in recovery mode. Whether it continues to climb or pulls back toward support, tools like the Ichimoku Cloud and volume-based indicators can help you manage the risk and prepare for entry.


Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.

In this video, Dave breaks down the upside bounce in the Magnificent 7 stocks — AAPL, AMZN, NVDA, and more — highlighting key levels, 200-day moving averages, and top trading strategies using the StockCharts platform. Find out whether these leading growth stocks are set for a bullish reversal or more downside. Will the rally hold?

This video originally premiered on March 24, 2025. Watch on StockCharts’ dedicated David Keller page!

Previously recorded videos from Dave are available at this link.

Investors have closely watched Nvidia’s week-long GPU Technology Conference (GTC) for news and updates from the dominant maker of chips that power artificial intelligence applications.

The event comes at a pivotal time for Nvidia shares. After two years of monster gains, the stock is down 15% over the past month and 22% below the January all-time high.

As part of the event, CEO Jensen Huang took questions from analysts on topics ranging from demand for its advanced Blackwell chips to the impact of Trump administration tariffs. Here’s a breakdown of how Huang responded — and what analysts homed in on — during some of the most important questions:

Huang said he “underrepresented” demand in a slide that showed 3.6 million in estimated Blackwell shipments to the top four cloud service providers this year. While Huang acknowledged speculation regarding shrinking demand, he said the amount of computation needed for AI has “exploded” and that the four biggest cloud service clients remain “fully invested.”

Morgan Stanley analyst Joseph Moore noted that Huang’s commentary on Blackwell demand in data centers was the first-ever such disclosure.

“It was clear that the reason the company made the decision to give that data was to refocus the narrative on the strength of the demand profile, as they continue to field questions related to Open AI related spending shifting from 1 of the 4 to another of the 4, or the pressure of ASICs, which come from these 4 customers,” Moore wrote to clients, referring to application-specific integrated circuits.

Piper Sandler analyst Harsh Kumar said the slide was “only scratching the surface” on demand. Beyond the four largest customers, he said others are also likely “all in line looking to get their hands on as much compute as their budgets allow.”

Another takeaway for Moore was the growth in physical AI, which refers to the use of the technology to power machines’ actions in the real world as opposed to within software.

At previous GTCs, Moore said physical AI “felt a little bit like speculative fiction.” But this year, “we are now hearing developers wrestling with tangible problems in the physical realm.”

Truist analyst William Stein, meanwhile, described physical AI as something that’s “starting to materialize.” The next wave for physical AI centers around robotics, he said, and presents a potential $50 trillion market for Nvidia.

Stein highliughted Jensen’s demonstration of Isaac GR00T N1, a customizable foundation model for humanoid robots.

Several analysts highlighted Huang’s explanation of what tariffs mean for Nvidia’s business.

“Management noted they have been preparing for such scenarios and are beginning to manufacture more onshore,” D.A. Davidson analyst Gil Luria said. “It was mentioned that Nvidia is already utilizing [Taiwan Semiconductor’s’] Arizona fab where it is manufacturing production silicon.”

Bernstein analyst Stacy Rasgon said Huang’s answer made it seem like Nvidia’s push to relocate some manufacturing to the U.S. would limit the effect of higher tariffs.

Rasgon also noted that Huang brushed off concerns of a recession hurting customer spending. Huang argued that companies would first cut spending in the areas of their business that aren’t growing, Rasgon said.

This post appeared first on NBC NEWS

Embattled genetic testing company 23andMe, once valued at $6 billion, filed for Chapter 11 bankruptcy protection in Missouri federal court on Sunday night.

The company’s CEO, Anne Wojcicki, has resigned from her role as chief executive effective immediately, though she will remain a member of the board. Joseph Selsavage, 23andMe’s chief financial and accounting officer, will serve as interim CEO, according to a filing with the U.S. Securities and Exchange Commission.

“We have had many successes but I equally take accountability for the challenges we have today,” Wojcicki wrote in a post on X early Monday morning. “There is no doubt that the challenges faced by 23andMe through an evolving business model have been real, but my belief in the company and its future is unwavering.”

23andMe declined to comment further on the filing.

Anne Wojcicki speaks at the South by Southwest festival in 2023. Jordan Vonderhaar / Bloomberg via Getty Images file

The former billionaire co-founded 23andMe in 2006, and the company rocketed into the mainstream because of its at-home DNA testing kits that gave customers insight into their family histories and genetic profiles. The five-time CNBC Disruptor 50 company went public in 2021 via a merger with a special purpose acquisition company, which valued the company at around $3.5 billion at the time.

23andMe’s stock has mostly been in free fall in recent years as the company struggled to generate recurring revenue and stand up viable research and therapeutics businesses. As of Monday morning, the company has a market capitalization of around $25 million.

23andMe in Mountain View, Calif.Smith Collection / Getty Images

Last March, 23andMe’s independent directors formed a special committee to evaluate the company’s potential paths forward. Wojcicki submitted multiple proposals to take the company private, but all were rejected. The special committee “unanimously determined to reject” Wojcicki’s most recent proposal earlier this month.

If 23andMe’s plan to sell its assets through a Chapter 11 plan is approved by the court, the company will “actively solicit qualified bids” over a 45-day process. Wojcicki plans to pursue the company as an independent bidder, she said in her post on Monday.

23andMe has between $100 million and $500 million in estimated assets, as well as between $100 million and $500 million in estimated liabilities, according to the bankruptcy filing.

Beyond its financial woes, privacy concerns around 23andMe’s genetic database have swirled in recent years. In October 2023, hackers accessed the information of nearly 7 million customers. 

California Attorney General Rob Bonta on Friday issued a consumer alert urging residents to consider deleting their genetic data from 23andMe’s website.

23andMe said there will be no changes to the way that it stores, protects or manages customer data through the sale process, and it will continue operating business as usual.

“As I think about the future, I will continue to tirelessly advocate for customers to have choice and transparency with respect to their personal data, regardless of platform,” Wojcicki said.

This post appeared first on NBC NEWS

Bitcoin is more closely correlated to the Nasdaq than it is to gold most of the time, and investors could benefit from viewing it as another big tech stock, says Standard Chartered.

Bitcoin’s correlation with the Nasdaq is currently at about 0.5, after it approached 0.8 earlier this year, according to the bank. Meanwhile, its correlation with gold has been falling since January, touching zero at one point, and is now just above 0.2.

“Bitcoin trading is highly correlated to the Nasdaq over short time horizons,” Geoff Kendrick, Standard Chartered’s global head of digital assets research, said in a note Monday. “This Nasdaq correlation leads to the idea that bitcoin could be included in a basket of large tech stocks; if it were included, the implication would be more institutional buying as BTC would serve multiple purposes in investor portfolios.”

Bitcoin is frequently viewed as “digital gold” and a hedge against risks facing the traditional financial sector. Kendrick said he still sees the flagship cryptocurrency serving that purpose but that “in reality … the need for such hedges is very infrequent.”

Standard Chartered created a hypothetical index dubbed “Mag 7B,” in which it added bitcoin to the Magnificent 7 tech stocks — Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, and Tesla — and removed Tesla.

“Mag 7B has outperformed Mag 7 by about 5% over the period since December 2017,” he said. “On a calendar year basis, Mag 7B outperformed Mag 7 in five out of seven years, albeit by a very small margin in 2022. Mag 7B’s relative returns are decent on both an absolute basis (averaging around 1% a year above Mag 7) and a calendar-year basis.”

Kendrick said bitcoin has been trading in a similar volatility-adjusted fashion to Nvidia since President Trump’s inauguration. They’re down 16% and 12%, respectively, since Jan. 20. Meanwhile, Tesla, which has lost 36% in the same period, is trading more like ether (down 38% since Jan. 20).

“Investors can view bitcoin as both a hedge against [traditional finance] and as part of their tech allocation,” Kendrick said. “Indeed, as BTC’s role in global investor portfolios becomes established, we think that having more than one use will bring fresh capital inflows to the asset. This is particularly true as bitcoin investment becomes more institutionalized.”

Bitcoin is down about 5% for the year after Trump’s tariff threats in recent weeks have brought new volatility to the market. Investors are expecting relief in the second quarter, however, given bitcoin’s two of its most persistent correlations: its positive correlation with money supply growth, also known as M2, and its negative correlation with the U.S. dollar index, or DXY.

—CNBC’s Michael Bloom contributed reporting.

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