Stocks
Nvidia Stocks Soar as AI Chip Fears Ease Amid Boost from SpaceX
Nvidia's stock surged more than 10% this week as concerns over the AI chip market eased. The Philadelphia Semiconductor Index also rose, gaining over 8% in five trading days.
The sector took a hit last week due to fears about the ongoing AI build-out and whether companies' lofty valuations were supported by their fundamentals. However, traders turned more positive on the sector this week, causing semis to recover.
Nvidia received a boost from SpaceX's announcement that it would use Nvidia's chips exclusively in its data centers both on Earth and in space. Elon Musk said he would pack data centers with Nvidia's Vera Rubin-based NVL72 rackscale system and launch modified versions of the rack into orbit around Earth.