AI is about to face an enormous test. The market is already nervous

Wall Street traders are gearing up for Nvidia's earnings. Michael Nagle/Bloomberg/Getty Images New York —

Growing concerns about an artificial intelligence bubble have, in large part, caused the stock market’s recent bout of volatility . So the AI industry will face an enormous test when Nvidia, the world’s most valuable company and backbone of the AI boom, reports earnings after the bell on Wednesday.

The stock market rally —  that had been going practically nonstop since April until this month’s blip — largely depends on Nvidia. The chipmaker, which is the gold standard for AI computing power, has propelled the market higher across the past three years.

Investors are now eager to know whether demand for Nvidia’s chips — and its optimism about the future — are continuing to