Nvidia Beats Big, Then Dumps 5% – Classic Sell-The-News Day

Market Performance - Stocks opened lower and remained under pressure throughout the day, with Nvidia and Salesforce reporting earnings that influenced market sentiment [2][3] - Nvidia's shares dropped about 5% despite beating earnings and revenue expectations, marking its worst day since April [2][5] - Other semiconductor companies, including Broadcom, Lam Research, Western Digital, and Applied Materials, also saw declines of more than 6% [3] Sector Analysis - The technology sector faced significant weakness, primarily due to ongoing concerns about software and cybersecurity, as investors worry about AI tools disrupting existing vendors [4] - Salesforce's stock rose 2% after exceeding earnings expectations, but this was insufficient to uplift the broader tech sector [3] Market Indices - The Nasdaq was the biggest loser of the day, while only the Dow and small-cap stocks managed to close in the green [4] - Small-cap stocks outperformed the broader market, indicating a divergence in performance among different market segments [8] Bond and Currency Markets - Bond yields eased, which increased expectations for potential rate cuts, while the dollar gained overall despite a late sell-off [5] - Gold prices fluctuated between $5,150 and $5,200, with gold ETFs closing positively, while silver also saw slight gains [5] Trend Tracking Indexes - The domestic Trend Tracking Index (TTI) closed at +8.76% above its moving average, indicating a bullish signal effective May 20, 2025 [9] - The international TTI closed at +12.67% above its moving average, also signaling a bullish trend effective May 8, 2025 [10]