Nvidia reports today amid some AI-driven rumors, and we’re breaking it down on the Weekly Update with Brett Witkowski.

The S&P 500 just hit its first test of the 50-day moving average in months. We’re still only a few percent off all-time highs, and these kinds of pullbacks are completely normal.

There’s been chatter about a potential AI bubble centered around Nvidia. While circular financing can create risks, this doesn’t look like a bubble that’s ready to burst. Much of the growth has been funded by free cash flow from hyperscalers. It’s definitely an investment boom, and a huge one, but the odds of a meaningful return on investment are high. A bubble? Not likely.

Overall, the market looks healthy. We’ve had speculation all year, and a pause here is natural.