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12.06.2024 18:53:09

Why Nvidia, Arm Holdings, and Other Artificial Intelligence (AI) Stocks Rallied Wednesday Morning

One of the biggest catalysts propelling the market rally since early last year is the proliferation of artificial intelligence (AI). On the other hand, the uncertain state of the economy and stubborn inflation have acted as counterweights, helping to limit investor exuberance.The Federal Reserve Bank has remained steadfast in its resolve, refusing to lower interest rates until inflation is under control. As a result, interest rates remain at a 20-year high, and investors are keen to see them come down. The latest read on inflation was better than expected, sparking a broad-based market rally.With that as a backdrop, chip designer Arm Holdings (NASDAQ: ARM) rose 4.1%, chipmaker Nvidia (NASDAQ: NVDA) jumped 3.9%, memory and storage chipmaker Micron Technology (NASDAQ: MU) climbed 3.4%, AI solutions provider C3.ai (NYSE: AI) increased 1.9%, and semiconductor giant Broadcom (NASDAQ: AVGO) rallied 1.3%, as of 11:59 a.m. ET on Wednesday.Continue readingWeiter zum vollständigen Artikel bei MotleyFool

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