The Daily Breakdown takes a closer look at the upcoming GDP and PCE reports, two metrics that could shape monetary policy going into Q4.
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What’s Happening?
On Wednesday, markets dipped for the second straight day as we near a notable two-day stretch of economic reports.
GDP
At 8:30 a.m. ET, we’ll get the third and final GDP report for Q2. When this report was first released (in July) estimates only called for 2.5% annualized growth. Today, it’s 3.3%. Investors will want to see strong personal consumption in the report, pointing to a solid and resilient consumer.
PCE
While the GDP report matters, getting confirmation on Q2’s data isn’t exactly forward-looking at this point as we’re days away from entering Q4. With the Fed just restarting its rate-cutting plans, tomorrow’s PCE inflation report will be key. Investors want to see an in-line or lower reading, which would keep markets on pace for two more rate cuts this year.
Note: Remember, Costco reports earnings today after the close as well.
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The Setup — Nvidia
Nvidia has been a leader in the AI and semiconductor rally over the last few years. While the stock took its time to consolidate — when it was range-bound between $90 and $150 from May 2024 to June 2025 — a major breakout helped catapult it up its recent highs. Now, it’s treading water again, this time between $165 and $185.
If the stock is able to break out over current resistance, the bullish momentum could help fuel the next leg higher. However, if support eventually wanes, then bearish momentum could help accelerate the selloff. For now, Nvidia remains range-bound between these two levels, but don’t expect that to last forever.
Options
As of September 24th, the options with the highest open interest for NVDA stock — meaning the contracts with the largest open positions in the options market — were the November $180 calls.
Bulls can utilize calls or call spreads to speculate on a move higher, while bears can use puts or puts spread to speculate on more downside should support break. For those looking to learn more about options, consider visiting the eToro Academy.
What Wall Street’s Watching
Intel shares rallied notably on Wednesday, up more than 6% on reports that Intel approached Apple about securing an investment from the iPhone maker. This follows the recent news that Nvidia will invest $5 billion in Intel — which sent shares of Intel soaring earlier this month.
Shares of Starbucks are relatively flat this morning, but the company announced a new $1 billion restructuring plan, which includes closing stores and eliminating roughly 900 jobs. Ultimately, the company sees a path toward opening new stores and refurbishing existing ones. Dig into the fundamentals for SBUX.
Ethereum briefly broke below the key $4,000 level overnight, dropping to around $3,965. Will that mark the low? Bulls are hoping that support in the $3,900 to $4,000 area holds strong, allowing for a rebound to eventually take place. However, a further dip would put this theory to test. Check out the charts for ETH.
Disclaimer:
Please note that due to market volatility, some of the prices may have already been reached and scenarios played out.