Nvidia Corp. Chief Executive Officer Jensen Huang spoke to media members after the company’s “Japan AI Ecosystem” reception in Tokyo on Thursday, July 16, 2026.
Kiyoshi Ota | Bloomberg | Getty Images
Hello, this is Leonie Kidd from London.
Nvidia carries the weight of the AI world on its shoulders. But with sky-high returns expected, can the group led by CEO Jensen Huang actually impress investors?
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What you need to know today
Nvidia is scheduled to report earnings after the Wall Street bell on Wednesday. The AI darling’s blockbuster performance over the past year has raised its earnings forecast and further increased the so-called “expectation premium” that NVIDIA must now exceed.
According to FactSet, TheStreet is projecting second-quarter sales of an astonishing $92 billion. In a report on Saturday, Cantor Fitzgerald highlighted the consensus for third-quarter sales of $103.7 billion.
Last year, Nvidia beat expectations on every revenue metric, but its stock price fell the next business day, according to Bespoke Data.
hyperscaling test
There is one persistent concern among investors this quarter. It’s a reliance on Nvidia’s hyperscalers. The company currently reports revenue for these hyperscalers by dividing them into AI cloud, industrial, and enterprise packs. Investors have voiced concerns about this concentration of dependence. Amazon, google and microsoft.
Nvidia fell 2.9% on Monday, its seventh straight day of losses and its longest losing streak since 2022. Shares closed 2.2% higher on Tuesday.
Read CNBC’s Jim Cramer’s take on how Nvidia’s earnings have become a “referendum on the entire AI industry” here.
Crude oil is in the red
time for revenge
Canada has announced the outline of “dollar-for-dollar” retaliatory tariffs it will impose on more than $20 billion of U.S. goods following the collapse of trade negotiations with the Trump administration.
Countervailing duties range from 15% to 50% and cover a wide range of Canadian imports from the United States, including dairy products, seafood, household appliances, wood and paper products, and clothing.
Among the most significant are 50% tariffs on U.S. steel and aluminum, doubling current tax rates.
highest bid
The so-called “downgrade trade” is getting a second wind after Treasury Secretary Scott Bessent’s intervention in the bond market.
In this environment, assets such as cryptocurrencies and precious metals are rising as investors look to hedge against a weaker U.S. dollar and Treasury debt.
— Leonie Kidd
And finally…
Country music queen Dolly Parton dies at age 80
Dolly Parton was around six years old when she wrote her first song, “Little Tiny Tasseltop,” an ode to her corn cob doll with corn silky hair. Her mother kept it in a shoebox.
“I loved that little doll,” Ms. Parton wrote decades later. “I expressed myself and my feelings through writing. I’m sure what I was thinking was, ‘Tassel Top must have a song about her.'”
Parton never stopped making music. The irrepressible country music singer, songwriter and actress whose charisma, heartfelt lyrics and business acumen captivated the imagination for nearly 60 years died Tuesday at the age of 80, her family announced in a statement.
— Reuters
