Tech Market Under Pressure: Nvidia Tests Investor Euphoria

Investors on Wall Street are preparing for the release of Nvidia's financial report, now seen as the most important barometer for the health of the global data-driven economy. The company, the undisputed leader in producing graphics processing units powering artificial intelligence, faces the challenge of meeting lofty forecasts. The market expects spectacular numbers, but analysts point to growing structural risks. Options investors are pricing in the smallest post-earnings volatility in three years, suggesting the market has reached a certain level of maturity or simply lacks fuel for further sharp gains without hard proof of technology monetization. The condition of the broader hardware sector, however, raises some concerns. HP has announced a revision to its annual profit forecasts, pointing to a drastic increase in the price of RAM, which now accounts for as much as 35% of personal computer production costs. An additional restraining factor is trade uncertainty caused by potential tariffs and strict export regulations. U.S. officials confirmed that not a single unit of the latest H200 chips has reached China, demonstrating the effectiveness of Washington's trade blockades. These restrictions directly impact the growth potential of U.S. manufacturers in Asian markets. The history of computer technology development since the 1970s shows that cycles of euphoria have often ended with painful corrections when infrastructure outpaced real business applications, as symbolized by the dot-com bubble.The situation in the software sector is worsened by reports from Workday and GoDaddy, which presented revenue forecasts below analyst expectations. This indicates a broader trend of corporate caution in spending on subscriptions and cloud services. Furthermore, rising costs of power and water for data centers are becoming a barrier that even political promises of industry support cannot overcome. Companies now have to contend with the real physical and economic limits of data infrastructure, which effectively ends the era of uncritical investment in any solution labeled 'smart'.