...the US market at the height of current exuberance and in need of an overdue correction, is susceptible to fund outflows/exodus if the US semis bloodbath overnight does not stop tonight. No one is panicking yet but should the mega techs continue to fall, people would start to take notice. They would then be thinking if it would be 'right' for them to be an investor for the longer term (even when they knew it is trading at a steep premium) or to sell before the implosion.
...NVIDIA has just slightly breached its major support of 24 June and tonight would be pivotal for the stock, a further fall would likely see it falling at least another 7pc to its end May level.
...NVIDIA is the poster child for this AI-led rally, NVIDIA goes, the market goes. But Wall St wants to distract us into believing that there can be a rotation into smaller caps to keep the exuberance alive.
