Wall St brokerages say AI selloff overdone, downplay Democrat regulation risks
Wall Street brokerages including Morgan Stanley and UBS called last week’s rout in the AI trade overdone, arguing that the risks of extreme regulation of data center developments under a Democrat-controlled Congress are unlikely to play out.
They instead pointed to Anthropic’s IPO and Nvidia’s upcoming quarterly earnings as events likely to have a bigger impact on the AI trade.
Nvidia is set to report earnings after the markets close on November 17 and is expected to report a more than 12% rise in data center revenue on a quarterly basis.
