Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Bitcoin, Powell Testimony, Nvidia: 3 Things to Watch

Stock MarketsFeb 23, 2021 04:47PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Liz Moyer

Investing.com -- The rotation away from tech stocks continued on Tuesday as investors snapped up energy and financials while Federal Reserve Chairman Jerome Powell said the recovery was still in the early stages.

Pent-up consumers could drive big economic growth later this year, once vaccines make their way into enough of the population to make a full reopening possible. Powell told Congress on Tuesday that the Fed stands at the ready to support growth, and downplayed the risk of inflation.

The Dow Jones Industrial Average rose during afternoon trading, erasing earlier losses, while the tech-heavy NASDAQ Composite stayed in the red despite a late-day rally.

Powell heads to Capitol Hill again on Wednesday, where lawmakers in the House prepare to vote on a $1.9 trillion stimulus package that includes extended unemployment benefits and funds for vaccinations.

Here are three things that could affect markets tomorrow.

1. Companies bitten by bitcoin

Bitcoin has fallen back somewhat since it soared past $55,000 this month, and that’s hitting some companies. Tesla Inc (NASDAQ:TSLA)fell as much as 10% earlier on Tuesday before coming back to settle down more than 2%.

Square Inc (NYSE:SQ) disclosed after the closing bell that it bought $170 million of Bitcoin, on top of the $50 million it already bought. Bitcoin now makes up 5% of its assets. Square fell 5% in after-hours trading after falling 4% during the Tuesday session. Bitcoin is trading just over $48,000.

2. More word from the Fed

Fed Chairman Jerome Powell starts a second day of Congressional testimony at 10:00 AM ET (1500 GMT). On Tuesday he told lawmakers the economic recovery still had a long way to go and downplayed the risk of inflation.

His appearance on Capitol Hill this week comes as the House prepares to vote on President Joe Biden’s $1.9 trillion stimulus package. Senators are expected to oppose certain aspects of the plan, including its size. Democrats are aiming to get a bill to President Biden by early next month.

3. Chip earnings

Gaming chip maker NVIDIA Corporation (NASDAQ:NVDA) reports earnings on Wednesday, and analysts are expecting EPS of $2.80 on revenue of $4.8 billion.

There is a chip shortage affecting everyone from car makers to game developers. Nvidia said earlier this year it was seeing GPU shortages because they were being used to mine cryptocurrency. In response, it rolled out a GPU dedicated to crypto mining, a move designed to ease up the shortage for gaming. Analysts will be listening for word on that effort. 




Bitcoin, Powell Testimony, Nvidia: 3 Things to Watch
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (6)
Viking Fire
Viking Fire Feb 24, 2021 5:55AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Just imagine with how well it is doing now, crypto is supposed to do even better with inflation. Like others mention below it helps to advance chip technology. With chips being probably the most important thing on the planet as they are engraned into every modern advancement from medical devices, drones, phones, cars, farming, construction and everything else having a financial assett connected to them makes more sense than ever.
jamal jamal
jamal jamal Feb 23, 2021 8:17PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Like I've been saying for days, always buy the dip. I get so many downvotes yet i'm right every day. Go figure
Larry Deangelis
Larry Deangelis Feb 23, 2021 8:17PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Until your not!
jonah gaff
jonah gaff Feb 23, 2021 8:17PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
your claim requires that the dollar always stay valued which is obviously unrealistic.
Cory Schaeffer
Cory Schaeffer Feb 23, 2021 7:33PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Nvidia literally sales directly to miners so I don't know why they playing like they aren't part of the shortage issue
Francisco Rijavec
Francisco Rijavec Feb 23, 2021 7:33PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Of course they do. Miners pay higher prices for the product, I would sell to them too
Jacob Myers
Jacob Myers Feb 23, 2021 6:44PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
I cant Believe Powell is still downplaying Inflation. The FED has been print more and more money at a growing rate since the summer. I’m hoping we are in the beginnings of a pullback but thats unlikely i’d say. I attribute this choppiness to talks of stimulus. Yes stimulus is a necessity for most who get it, but no one is thinking about the long term effects it will have on the value of the dollar. Im not one for fear mongering but this are extremely uncertian times. Yes a weak dollar and strong economy go hand and hand in the short term, but we need to regocnize the long term effects we are instilling also.
Show previous replies (3)
Hey Yo
DripDrop Feb 23, 2021 6:44PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
If QE=money printing and money print = inflation, then how come QE hasn’t given us high inflation since 2008? Because creating bank reserves is not the same as flooding the economy with cash.
jamal jamal
jamal jamal Feb 23, 2021 6:44PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
just buy the dip, it always goes up; it's not rocket science
Chevon Nurse
Chevon Nurse Feb 23, 2021 6:44PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
There is no inflation because we have too much competition. Imagine if walmart raised prices yes but traget will have lower prices and kroger will have even lower. Home depot cant raise prices because lowes. Its competition out there. Chipotle said today they dont see any price raises in food they buy. Money printing isnt a bad thing. I dont know why everyone thinks its bad things going on all these guys in the fed know more than you. Imagine these guys already learned from 2008 biden knows more is better. The only dinosaurs that think different are the ones who are behind the times more money flowing into the economy and market is a good thing the liquidity isnt even creating an asset bubble valuations are stretched because where uou gonna get yeild feom tbonds? No everyone know tbis best thing is to buy assets.
Spirit and Truth
Spirit and Truth Feb 23, 2021 6:44PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
jamal jamal so when do we sell?
Che Pistevo
Che Pistevo Feb 23, 2021 6:44PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
If you think the Fed is printing money, check out to see what the Chinese central bank is doing.
Gunjan Gupta
Gunjan Gupta Feb 23, 2021 6:38PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
good contenti was not aware about chip short due to crypto mining
Gunjan Gupta
Gunjan Gupta Feb 23, 2021 6:36PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
good content
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email