Nvidia’s Lackluster Forecast; Musk's SpaceX files for IPO | Horizons Middle East & Africa 5/21/2026

Summary

Nvidia reported strong earnings but a muted forecast disappointed investors, highlighting extreme market expectations. Geopolitical tensions with Iran kept oil near $106 and weighed on global bonds. JPMorgan's Jamie Dimon warned rates could climb further, while African central banks turned more cautious on inflation. The AI trade remained resilient as SpaceX filed for a massive IPO.

• Nvidia's sales forecast beat consensus but fell short of the highest analyst estimates, leading to after-hours declines.
• AI trade regained momentum with Asian equities rising, led by South Korea's KOSPI on Samsung labor deal.
• Iran threatened retaliation beyond the Middle East, keeping oil prices elevated near $106.
• Jamie Dimon said interest rates could go much higher due to inflation and fiscal deficits, warning of potential recession.
• SpaceX publicly filed for an IPO targeting a valuation above $2 trillion, with details on losses and Musk's voting power.
• African central banks in South Africa, Nigeria, and Ghana are pausing or potentially hiking as oil prices push up fuel and food inflation.
• JPMorgan's Troy Rohrbaugh expressed support for the Middle East region, increasing risk limits and lending despite the conflict.
• The dollar was seen as likely to weaken later in the year as the Fed cuts rates, according to Morgan Stanley's Rajeev Sibal.