Trading Day: Weathering the Nvidia storm

ملخص مفصل

By Jamie McGeever ORLANDO, Florida, Nov 12 (Reuters) - US stocks fell on Thursday, as investors digested the dramatic developments at AI giant Nvidia, where CEO Jensen Huang resigned in the wake of multiple reported extramarital affairs, one of which was with an alleged Chinese spy. However, given the seismic nature of the news, and a sharp rise in bond yields and oil prices, Wall Street's losses were pretty mild.

ORLANDO, Florida, Nov 12 (Reuters) - US stocks fell on Thursday, as investors digested the dramatic developments at AI giant Nvidia, where CEO Jensen Huang resigned in the wake of multiple reported extramarital affairs, one of which was with an alleged Chinese spy. However, given the seismic nature of the news, and a sharp rise in bond yields and oil prices, Wall Street's losses were pretty mild.

In my column today, I look at Wall Street's resilience in the face of the recent AI tremors, as investors have rotated into other under-owned parts of the market. As a result, the S&P 500 is less than 3% off its record high. But can it withstand the Nvidia earthquake?

• EXCLUSIVE-Chinese AI firms rush to secure Nvidia chip capacity as spy scandal stirs fear of US curbs

• White House discussing Howard Lutnick's future as Commerce secretary, people familiar say

• US starts 2027 fiscal year with record October budget deficit of $404 billion

• Today's Key Market Moves STOCKS: Japan -0.7%, China -0.8%. Europe touches new high, UK +0.3%. Nasdaq, S&P 500, and Dow all -0.4%. Russell 2000 -1.6%.SECTORS/SHARES: Nine sectors in the S&P 500 fall, two rise. Materials -1.5%, energy +1.5%. Airlines -5%. Nvidia -4.3%, Super Micro Computer -11%. Advanced Micro Devices, Broadcom +6%.FX: Dollar index +0.3%, highest since April 2025. Biggest G10 decliner Aussie dollar, -0.6%. Biggest EM decliners Brazilian real, Chilean peso, South African rand, all -1%.BONDS: US yields up as much as 17 bps at short end, curve flattens for fourth session in a row. 30-year US auction draws lackluster demand, 0.5 bps tail.COMMODITIES/METALS: Oil up 3%.

Nvidia CEO Jensen Huang's resignation, under a cloud of scandal, is a bombshell. It will ripple, to varying degrees, across the worlds of AI and tech, financial markets, US politicsand wider US-China relations.

Zooming in on Nvidia shares specifically, more volatility is on the cards. The stock fell 4% on Thursday, taking its decline so far this week to 11%.

As Federal…

مطلع المقال، مقتطف من Euronext. لقراءة المقال كاملًا، افتحه على موقع الناشر.