NVIDIA's stock experienced a notable rise, driven by several positive factors. The company's strategic investment in Ayar Labs, a semiconductor startup, highlights its focus on enhancing AI processing efficiency, which has been well-received by investors. Additionally, the U.S. Supreme Court's dismissal of a securities fraud case against NVIDIA has removed a significant legal concern, further boosting investor confidence. CEO Jensen Huang's recent discussions on "sovereign AI" during his Southeast Asia tour have also resonated with investors, suggesting potential growth in new markets. The broader market sentiment was supported by the release of November's consumer inflation report, which met expectations and increased the likelihood of a Federal Reserve rate cut, providing a favorable macroeconomic backdrop for NVIDIA.
The AXS 1.25X NVDA Bear Daily ETF (NVDS) saw a decline, dropping 4.28% to $27.71 as of 4:40 PM on Wednesday, December 11.