Nvidia To Move Markets More Than Warsh: 3-Minute MLIV
Speakers
Mark Cudmore
— Executive Editor, Bloomberg Live / Macro Strategist
Summary
Bloomberg's Opening Trade panel discusses whether Nvidia earnings can restore market volatility. Mark Cudmore turns positive on Nvidia, arguing the stock is already discounted and AI capex remains supportive. He also expects the recent pick-up in volatility to continue. The panel expects Warsh's Jackson Hole remarks to be an anti-climax with little policy guidance.
- Nvidia is seen as this week's main potential catalyst for market volatility.
- Mark Cudmore says Nvidia is already discounted and remains highly profitable despite its AI transition.
- He expects Nvidia earnings to reaffirm that the AI capex cycle is still in an inflation stage.
- He turns positive on Nvidia rather than expecting a negative skew after earnings.
- Recent market volatility may continue, according to Cudmore.
- Warsh's Friday appearance is expected to provide little forward guidance.
- The end-of-week Fed event is likely to be an anti-climax for markets.
Ideas
Nvidia discounted; AI CapEx remains supportive.
Mark Cudmore argues Nvidia earnings are set up differently this time: the stock is already discounted, it is making a transition as an AI name but remains highly profitable, and the report should emphasize that the AI CapEx bubble is still in the inflation stage. He has turned positive again rather than expecting a negative skew after earnings.
Volatility may keep rising.
Mark Cudmore notes that markets have already seen a pick-up in volatility and expects that increase to continue, while he is no longer convinced by the negative-skew setup he previously expected.
Up Next
This Bloomberg Markets video, published August 25, 2026, features Mark Cudmore discussing NVDA, VOLATILITY. 2 trade ideas extracted by AI with direction and confidence scoring.
Speakers: Mark Cudmore · Tickers: NVDA, VOLATILITY