Nvidia’s stock is experiencing one of its most volatile weeks to date as the market reacts to significant events. The Nasdaq Composite Index climbed by 1.5%, adding 277 points on Monday afternoon, following President Joe Biden’s announcement that he would not seek re-election and his endorsement of Vice President Kamala Harris. In the same trading session, the Dow Jones Industrial Average and the S&P 500 saw increases of 0.3% and 1.1%, respectively.
Predictive markets indicate that Harris has emerged as the favored candidate for the Democratic nomination, with predictions suggesting she may become the next president of the United States.
Nvidia’s share price rose by 4% in the afternoon after Reuters disclosed that the company is working on a version of its new Blackwell AI chips specifically for the Chinese market. Nvidia is reportedly collaborating with local distribution partner Inspur to launch and sell the chip, provisionally named the “B20,” which is expected to begin shipping in the second quarter of 2025. Nvidia has not provided any comments on this report.
Meanwhile, Tesla’s stock surged nearly 5% a day ahead of its earnings report, during which CEO Elon Musk is anticipated to discuss the timeline for the company’s robotaxi unveiling. Musk stated on social media that Tesla plans to produce humanoid robots for internal use in the coming year and aims for higher production levels for other companies by 2026.
In contrast, CrowdStrike, the cybersecurity firm involved in last Friday’s major global tech outage, continues to face challenges, although operations are gradually returning to normal. The company reported that a significant number of the approximately 8.5 million impacted Windows devices are back online. However, CrowdStrike’s stock was down more than 13% on Monday afternoon, trading around $263.
Verizon experienced a nearly 6% decline in its stock after releasing its quarterly earnings report, which fell short of revenue expectations. The telecommunications company reported second-quarter revenue of $32.8 billion, slightly below analysts’ average estimates of $33.06 billion, while its earnings per share remained steady at $1.15. The slower upgrade rates are attributed to customers prolonging their use of older mobile phones, which has adversely affected telecom companies.