On Tuesday, Nvidia (NVDA) stock is set to zoom higher from the $175 support zone. NVDA gained 1.72% on Monday. After markets closed, Trump said that the U.S. would allow the firm to sell its powerful H200 chips to China.
The approval contradicts China’s order, where the government told Chinese firms not to use the U.S. technology. Still, Trump said that he told Chinese President Xi about the permitted sales. The U.S. President said that Xi “responded positively.”
IBM (IBM) is in a holding pattern between $300 - $309. The company is bidding for Confluent (CFLT), offering $11 billion for the data streaming firm.
CFLT shares gained 29.08% on Monday to close at $29.87. During the pandemic, Confluent traded as high as $93.
In the beverage sector, Pepsi (PEP) is settling with activist investor Elliott Investment Management. Pepsi agreed to cut its expenses in the food and beverage operations. In addition, it will cut the SKU (the number of individual products) by 20% across its U.S. businesses.
The SKU cut is bad news for consumers, since they will have fewer choices offered by Pepsi.
PEP stock is trading in a range of between $145 - $150. It is performing better than other consumer goods firms. For example, P&G (PG) closed at a new 52-week low on Monday. Clorox (CLX) and Kimberly-Clark (KMB) risk falling to a new low, too.
