Despite AI Turbulence, Analysts Still Expect a Year-End Rally

​Tech Takes a Hit, but the Market Isn’t Broken
Wall Street started the week on shaky footing. Tech stocks dragged major indexes lower as investors stepped back from high-valuation names. Apple, Meta, and Oracle all slipped, while Nvidia — the centerpiece of the AI boom — fell even further.
The pullback shows just how sensitive the market is to any sign of slowing in AI demand, especially with Nvidia preparing to report earnings that could either calm nerves or ignite fresh volatility.

Nvidia’s Forecast Could Make or Break Momentum
Nvidia’s CEO previously told investors the company has “half a trillion dollars” in orders lined up for 2025 and 2026 — a staggering number that raised expectations sky-high.
Now, with earnings approaching, the market is bracing for every nuance in the company’s outlook. Even slightly softer demand guidance could trigger an outsized reaction simply because Nvidia has become the gravitational center of the AI universe.

Analysts Still See a Rally on the Horizon
Despite the slump in AI names, several strategists say the market may still end the year on a high note.
Canaccord Genuity’s Michael Graham sees a healthy mix of bullish and bearish signals but believes the bullish side will win out. HSBC strategist Max Kettner shares the view, calling a late-year "melt-up" more likely than an AI bubble bursting.
In other words, the recent tech wobble may be a pause — not a reversal.

Global Pressures Add Noise But Not Panic
India grabbed headlines with a record trade deficit, driven by soaring gold imports and weakening U.S. demand for its exports. Meanwhile, bitcoin’s extended slide has some analysts wondering whether crypto’s softening is a preview of broader risk aversion ahead.
Still, none of these shifts appear strong enough to derail a potential year-end push higher.

The Bottom Line
Technology stocks are under pressure, and Nvidia’s upcoming guidance could be the spark for the next big move — up or down. But zooming out, many analysts believe the ingredients for a year-end rally are still intact.
​If they’re right, investors might end the year celebrating instead of worrying about the AI slump.