OpenAI to Continue Data Center Expansion Despite Midterm Election Results

The news concerns OpenAI directly, not GOOGL; there is no clear short-term impact on Google's core businesses (search, cloud, advertising). The technical picture is mixed: the price is slightly below the SMA20 but above the SMA50, RSI at 46 is in neutral territory, and MACD is negative but above the signal line. Although the 24-hour 1.5% rise is a sign of short-term recovery, momentum is weak. While data center investments support AI infrastructure spending across the sector, the 1-3 day impact on GOOGL may remain limited. Therefore, direction is uncertain, and a cautious neutral stance is appropriate.

NVDA suffered a sharp decline of more than 10% within 24 hours, with its RSI approaching the oversold threshold at 36; MACD remains in negative territory and the price is below both SMA20 and SMA50, indicating a weak short-term trend. News that OpenAI will continue its data center expansion offers a mildly positive signal for AI infrastructure demand, though such expansion headlines may already be priced in following recent moves. A rebound on bargain hunting is possible after the steep selloff, but momentum indicators have yet to confirm a reversal. I therefore view the 1-3 day outlook as neutral; the news alone does not establish a strong directional bias.

The news is not a direct catalyst for AMD; OpenAI's continued data center expansion indirectly signals demand for AI chips and may be perceived as mildly positive. However, the stock has fallen 8.9% in 24 hours, showing strong selling pressure, with the price just below the SMA20 and significantly below the SMA50. The RSI at 45.8 is in the neutral-weak zone; the MACD is negative and above the signal line, but a recovery is not yet confirmed. The impact of the news may be limited in the short term; a sideways-to-recovery trend is more likely for 1-3 days. Nevertheless, due to weak momentum, downside risk has not been completely eliminated.

OpenAI's data center expansion could create potential demand growth for TSM, but technical indicators currently show that the price is below its 20- and 50-day moving averages and the RSI remains below 50. Although the MACD being above its signal line suggests a slight short-term recovery, the overall trend is still downward. Therefore, the impact of the news may be limited in the short term, and TSM's price may not see a major move. Investors are advised to make decisions by considering fundamental news along with technical indicators.