New York, February 6, 2026, 07:36 EST — Premarket update.
Nvidia Corporation shares (NVDA.O) climbed about 2.7% in premarket trading Friday, recovering some losses as U.S. stock index futures found footing after a sharp tech selloff. This gain came after the Nasdaq closed Thursday at its lowest level in over two months.
The timing is key as the market re-evaluates the “AI trade” around two critical questions: how far capital expenditure — on data centres and computing hardware — can stretch before it’s too much, and who will cash in first. Hyperscalers, the major cloud players, are set to pour over $600 billion into AI deployments this year. Yet investors remain uneasy, worried that rapid advances in AI tools might upend software and data businesses. Reuters
Nvidia slipped 1.33% to $171.88 on Thursday, following a 3.41% tumble the day before, per Investing.com data. After this back-to-back decline, traders are quick to sell into rallies unless fresh data emerges.
Amazon stirred the pot with its latest announcement. The company revealed that 2026 capital expenditures could hit $200 billion, a surge of more than 50% from last year. The news sent its shares tumbling about 8% in premarket trading. Analysts at MoffettNathanson pointed out that “the magnitude of the spend is materially greater than consensus expected,” highlighting investors’ waning tolerance for ballooning budgets without clear returns. Reuters
Parts of Nvidia’s supply chain are pushing back against bubble concerns. Simon Lin, chairman of Wistron, a Nvidia supplier, told reporters in Taipei that AI “is not a bubble” and expects AI-related orders in 2026 to outpace last year’s growth. Reuters
Export policy remains a key factor. The Trump administration is open to ByteDance buying Nvidia’s H200 chips, but Nvidia has yet to agree to licence terms, including “know-your-customer” checks aimed at preventing chip diversion to China’s military, a source familiar with the situation said. A Nvidia spokesperson noted, “Although KYC is important, KYC is not the issue,” adding that the conditions must be commercially feasible. Reuters
That bounce might not hold. Even with spending on the rise, Nvidia could still slide if investors turn against major AI investments. Plus, any delays in export approvals or tighter rules could weigh on shipments to China, adding fresh strain.
Macro risk is on the horizon this week. The January U.S. nonfarm payrolls report arrives Wednesday, followed by the consumer price index on Friday, both delayed due to the government shutdown, Reuters noted. “Rotation is the dominant theme this year,” said Angelo Kourkafas, senior global investment strategist at Edward Jones. Reuters
Nvidia’s next major event is set for Feb. 25, when it will release its fourth-quarter and full fiscal-year results, followed by a conference call at 5 p.m. ET, the company announced. Investors will be focused on any guidance regarding data-center demand and updates on the China licence discussions.
