New Delhi, Nov. 21 -- Nvidia's latest results confirm that spending on artificial intelligence (AI) remains strong, underlining continued confidence in the technology's growth potential.

According to Jefferies' recent 'GREED & Fear' report, the outcome was expected, but the market's enthusiastic response may be missing a deeper concern. "The real issue is when markets will start to focus on how investors in AI capex are going to make the returns to justify this enormous spending," the report said.

The report, released on Thursday, noted that Nvidia's stock rose by 2.8 per cent in the past 24 hours, while Taiwan Semiconductor Manufacturing Company (TSMC) gained 4.3 per cent. These gains, however, do not address the underlying question of...