I just reviewed the context around Nvidia's upcoming results, and honestly, this will be more important than many think. It's not just a tech sector event; it's practically a catalyst for the entire global market.

The reason is quite simple: Nvidia is at the center of AI infrastructure. Wall Street expects quarterly revenues close to $65-66 billion with a year-over-year growth of 68%, and most notably, data center revenues could reach around $60 billion. This reflects sustained demand from major hyperscalers.

What's interesting is that this isn't just an American tech story. Countries like the United Arab Emirates and Saudi Arabia are accelerating their own domestic AI clouds. It is estimated that sovereign investment in AI could contribute more than $20 billion annually to Nvidia, significantly diversifying its revenue base.

In terms of capex, major tech companies are projecting between $650-660 billion in capital expenditures by 2026, much of it directly linked to AI infrastructure. This number puts the scale of this transformation into perspective.

Now, on what the market is really watching: Blackwell is almost sold out until mid-year, but attention is shifting toward Rubin, the next platform. Gross margins should recover toward the average 70%, which would be a key sign of scalability. Investors are looking for margins around 75% for Q1 FY2027 and clarity on Rubin's ramp-up.

China remains a risk factor. Currently, there are no H20 sales in the region, so any easing of export restrictions would be a significant upside potential.

What truly moves Nvidia's stock price isn't just current results but future projections. Markets need confirmation that AI infrastructure spending is in early stages and sustainable. If Nvidia meets expectations, it could reignite momentum in AI trading. If not, expect volatility that extends far beyond Nvidia.

By the way, if you're a trader or investor following these capex dynamics and AI spending cycles, platforms like eToro with their API allow for integrating more sophisticated market analysis into your strategies. It's worth exploring how such tools can improve your visibility into these macro movements. I will definitely be watching how these numbers develop in the coming weeks.