By https://www.theguardian.com/profile/lauren-almeida
Publication Date: 2026-05-21 06:43:00
Introduction: Nvidia hits record quarter on AI chip boom
Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy.
A fresh wave of AI optimism has lifted the stock market after chip designer Nvidia reported another set of record-breaking earnings last night.
The company, which designs chips critical for AI tech, reported an 85% year-on-year rise in revenue to $81.6bn in the three months ended in April, marking the 15th consecutive quarter of beating Wall Street estimates.
Nvidia forecast $91bn in sales for its current quarter, well above average investor expectations of $86bn, but short of the highest estimates. Its shares are down 1% in after hours trading, reflecting some worries among investors about how long the company can keep up its incredible growth trajectory.
Still, the revenue beat has lifted the mood in Asian stock markets: the South Korean Kospi has staged a dramatic 9% rise, while Taiwanese shares have risen by 3.3%, snapping a four-day losing streak. LG Electronics and Hyundai Mobis both rose by more than 20% after Nvidia boss Jensen Huang said that physical AI and robotics was the “second category” for major growth.
Elsewhere this morning, Wes Streeting, the former health secretary, has called for a “wealth tax that works”.
Speaking to the BBC, he proposed equalising capital gains tax with income tax, which he said could £12bn a year.
Streeting suggested that CGT rates should mirror the three bands of…
