US OPEN: Falling Oil Prices and Dip-Buying Fuel Rebound as Nvidia falls

Despite the complex internal developments at Nvidia and another round of justified concerns regarding stability in the Middle East, market optimism prevails. The first session of the week kicks off with major Wall Street index futures up around 0.8%. US gains currently lag behind European and Asian markets, where indices are up by more than 1% on average.

Oil prices are declining following recent remarks from Donald Trump signaling restraint regarding the prospect of launching another phase of open hostilities with Iran. Crude oil is posting declines exceeding 3.5%.

The upcoming week will bring another wave of key earnings releases. Market attention is centered primarily on Cisco and CoreWeave, whose order books could serve as a crucial barometer of the health of the AI infrastructure investment boom. US CPI data will be equally pivotal—the market currently expects headline inflation to accelerate to 3.9%.

Investment bank analysts are also pointing to signs of growing optimism, supported by recent AAII sentiment survey results and constructive commentary from Morgan Stanley representatives.

Company News:

• Nvidia (NVDA.US): Shares are down approximately 5% after the board launched an investigation into CEO Jensen Huang over his relationship with a woman suspected of Chinese espionage. Despite company statements confirming no trade secrets were compromised, the controversy weighs on AI sector sentiment just eight days ahead of its quarterly earnings release.
• CoreWeave (CRWV.US): Shares trade up nearly 4% as dip-buyers step in ahead of Tuesday's earnings release. Investors are shaking off initial pressure from Nvidia’s slump and broader AI spending jitters, actively positioning for key insights into underlying GPU cloud demand.
• KKR & Co. (KKR.US): Shares are rising following Q3 earnings that beat Wall Street expectations. Strong results in its long-term private equity holdings helped offset weaker profitability within its Global Atlantic insurance arm.
• Coinbase (COIN.US): Shares are down 2.8% despite securing final regulatory approval for a trust-bank charter. The positive regulatory milestone was overshadowed by a broad wave of profit-taking across the cryptocurrency market.
• Constellation Energy (CEG.US): Shares gain 2% after management raised full-year adjusted operating EPS guidance. The power producer continues to benefit from structural demand driven by energy-intensive data centers.
• Monday.com (MNDY.US): Shares of the software provider are dropping 10%. The sell-off is a direct market reaction to the company's third-quarter results and Q4 guidance.

US100 Technical Analysis (D1)

On the daily timeframe, US100 futures remain under severe selling pressure, with the aggressive sell-off breaking below key support levels and major EMAs (25, 50, 100, and 200). Most notably, the breakdown below the 200-day EMA near 28,340 pts, coupled with the breach of support at 28,231 pts, confirms a deterioration in the medium- and long-term technical picture. The sharp decline was halted only near the demand zone around ~26,360 pts. The RSI, which had previously dipped into oversold territory, has rebounded to around 33 pts, suggesting potential for a technical bounce. The immediate resistance for bulls lies in the 27,180–27,300 pts area, whereas reclaiming 28,231 pts and the 200-day EMA would mark a vital signal of stabilization and a potential trend reversal back to the upside. Source: xStation5

Macroeconomic Data:

• Canada’s leading inflation indicator dropped to 0.02%.
• At 4:00 PM, US wholesale trade/sales data will be released.