Stock Market Today: NVDA Acquires Hugging Face, MSTR Rises on Bitcoin, LULU Falls on Earnings Miss

**Marley Kayden** (0:00)
Welcome to The Wrap. I'm Marley Kayden. Here to take you through today's market action. Let's take a look at where markets closed to end the week. Three of the four major averages were higher on the week. The S&P 500 was up about a tenth of one percent. The Dow was the lone laggard of the group, down about a quarter of a percent. The Nasdaq 100 was higher by a little more than a third of a percent. And the small cap Russell 2000 closed the week up just over a tenth of a percent. As we take a look at the leading lagging sectors for the week, Energy, the big winner, up around two and a quarter percent on the week after crude oil jumped back to 90 dollars a barrel. Technology was up one percent and utilities were higher by three quarters of one percent. To the downside, consumer discretionary was lower by two percent, materials lower by one and a half percent, and industrials down by one and a quarter percent. As we look at stocks that were on the move, one of the big stories of the week was Nvidia after the AI giant announced its acquisition of Hugging Face on Thursday for $12.9 billion.
Nvidia CEO Jensen Huang said in a statement that Hugging Face will remain an open platform for the entire AI ecosystem, and Nvidia Compute will not be required to build on or deploy through Hugging Face. Nvidia was up six percent on the week. Shares of Strategy gained 12 percent on the week, as Bitcoin prices climbed more than two and a half percent this week and briefly hit four-month highs. Michael Saylor said Strategy now has more total reserve capital than any other financial services in the S&P 500 besides Berkshire Hathaway. On Thursday, B. Riley hiked its price target on shares to $175 from $155 and kept a buy rating on the stock. Lululemon stood out for all the wrong reasons after it sold off following its latest earnings report. The company reported a four percent decrease in revenue and a nine percent decrease in comp sales for the quarter. Lululemon also cut its full year EPS revenue outlook as well, seeing more disappointment next quarter with EPS and revenue guidance coming in well below the estimates. The stock was down 16 percent for the week. As we head into next week, we have a shortened trading week, but there's still quite a bit going on. We have earnings from Oracle, Adobe, RH, Casey's General Store, GameStop, Chewy, American Eagle, Macy's and Kroger to name a few. On the data front, we'll get consumer credit, existing home sales, the monthly treasury balance, as well as arguably our most important reports in PPI on Thursday and CPI on Friday. That new inflation data of course in focus as it will likely impact the Fed's path forward at its meeting the following week. That is going to do it for the wrap. I'm Marley Kayden. Remember to tune in 24-7 to schwabnetwork.com and subscribe to our YouTube channel.