After the Federal Reserve categorized tariffs as transitory at the latest FOMC meeting, Nasdaq (QQQ) stabilized. The tech-heavy index ETF is holding the $470 - $480 level. The S&P 500 (SPY), after indicating a bearish multiple top at $610, closed at $563.98 on March 21.
Wall Street’s recent slide potentially ended. Stocks are starting to dismiss the monthly tariff threats. Instead, markets will turn their attention to high-profile IPOs on the way.
Ticket reseller StubHub filed for an IPO under the ticker “STUB.” The firm lost $2.8 million in 2024 despite generating income of $1.77 billion. In 2023, it posted $1.37 billion in revenue and a profit of $405.2 million.
Watch the CoreWeave IPO. The firm had $9 billion in AI hardware, buying $8.6 billion of it in the last year. It accumulated $8 billion in debt, where the interest rate on debt was 9.65%. Nvidia (NVDA) backed the firm, which will help the stock rise after the IPO. At a price between $47 - $55, the market capitalization of 49 million shares is up to $32 billion.
Speculators and traders may profit from the CoreWeave IPO. However, the medium-term risks for AI-related names are rising. The impact of tariffs will show up in the economy. Consumers will spend less, forcing corporations to cut costs. In turn, companies will realize that AI chatbots do not contribute to revenues. They will cut capital expenditures in AI projects.
