Tom Lee warns next week could be a "key turning point" for US stocks: Nvidia's performance will determine whether AI confidence can be reignited

Odaily News, Tom Lee stated that next week could become an important "clearing event" for the US stock market, as the market reassesses enthusiasm for artificial intelligence (AI) investment and uncertainty surrounding Fed policy.

Tom Lee pointed out that the core issue currently facing the market is whether investor confidence can be restored after the recent cooling of AI trading. AI-related stocks have recently seen stagnant performance, influenced by two main factors: on one hand, concerns over data center investment demand and profit returns; on the other hand, certain political factors have also added uncertainty to the development of the AI industry.

However, Nvidia CEO Jensen Huang could be the key figure in reigniting market confidence. If Nvidia can prove that demand for AI infrastructure remains strong, sustained order growth and market demand may drive capital back into the AI sector.

Meanwhile, Tom Lee said that uncertainty regarding the Fed's policy outlook continues to increase, and upcoming speeches by officials will serve as important signals for the market to gauge the path of interest rates.

Market participants believe that next week's Nvidia-related news and Fed officials' statements could become key catalysts influencing tech stocks and overall risk assets, with investors watching whether the AI rally can regain upward momentum.