Nvidia faces pressure as stock ends 7-day losing streak

Nvidia's stock ended a seven-day losing streak on Tuesday, marking its longest streak of daily trading declines since June 2019, according to Bespoke Investment Group. Despite this rebound, the company's stock has experienced a mini slump in August, raising questions about its long-term growth trajectory. The company is attempting to sustain its momentum by leveraging its substantial capital through a variety of investments and capital deals, aimed at meeting the increasing demand for chips from AI hyperscalers. Nvidia is set to report its second-quarter earnings after the market closes on Wednesday, with investors anticipating a strong performance. The company's CEO, Jensen Huang, is also focusing on using the company's massive balance sheet to invest in AI companies and secure financing for projects such as a large-scale ChatGPT data center in Ohio. However, the company faces challenges, including bipartisan opposition to data centers, which often rely on Nvidia's chips, potentially threatening its growth. Huang's efforts to maintain momentum come at a time when public support for AI is showing signs of wavering, putting pressure on him to deliver a positive outlook.