Stocks end lower as Nvidia CEO exit rattles the AI trade
Wall Street closed lower on Thursday after Nvidia shares fell on CEO Jensen Huang's resignation, while AMD and Broadcom jumped and Treasury yields climbed.
Nvidia drags the market lower
Wall Street closed lower on Thursday after Nvidia said chief executive Jensen Huang had resigned as president, chief executive and a director, effective immediately, and named chief financial officer Colette Kress interim chief executive. Nvidia shares fell as much as 14% early in the session, then pared the loss to 4.34% by the close, ending at $166.19.
The S&P 500 fell 0.35% to 7,592.40, the Dow Jones Industrial Average lost 0.36% to 52,297.09 and the Nasdaq Composite slipped 0.39% to 25,366.09. The small-cap Russell 2000 fell 1.66% to 2,799.06. The move followed reports that Nvidia's board had been preparing to dismiss Huang, after an investigation into a reported relationship with a woman alleged to be a Chinese spy and a separate reported affair with a company executive.
Chip rivals jump as money rotates
Two of Nvidia's biggest rivals paced the market's recovery from steep early losses. Broadcom and Advanced Micro Devices each climbed nearly 6% to lead S&P 500 advancers, with AMD rising 5.9%. Other chip stocks were under pressure, with Intel, Marvell Technology and Micron each down roughly 2%, and the iShares Semiconductor ETF ticking lower after a 6% surge in the previous session.
Shares of companies Nvidia has invested in also fell. CoreWeave dropped 7% a day after soaring 25% on a strong earnings report, Nebius Group fell 17% after releasing quarterly results, and Lumentum Holdings declined 4%. Super Micro Computer tumbled 11% after a report that the Justice Department is investigating whether Alice Huang, the woman at the center of the reported relationship, smuggled Supermicro products into China.
- S&P 5007,592.40, down 0.35%
- Dow Jones52,297.09, down 0.36%
- Nasdaq Composite25,366.09, down 0.39%
- Nvidia$166.19, down 4.34%
- 10-year Treasury yield5.13%
Yields climb past 5% as Apple hits a record
The yield on the 10-year Treasury reached 5.13%, up from 4.99% at the previous close, as the bond market reopened after the Veterans Day holiday. The yield has risen this week amid concerns that the Federal Reserve may raise rates again next month to tame inflation that remains above the central bank's target.
Apple shares hit an all-time high of just below $360 during Thursday's session, before ending the day 0.1% lower. The stock has risen 31% since the start of the year, making it the top performer among the Magnificent 7 in 2026.
Oil up, gold and bitcoin down
In other markets, WTI oil futures rose 2.8% to $88.90 a barrel after President Donald Trump said the United States does not need a deal with Iran. Gold futures fell 3.1% to $3,880 an ounce, trading at their lowest level since October 2025, while bitcoin traded at $71,500, down from a high of $74,700 the previous day.
The major indexes were coming off a winning session on Wednesday that was sparked in part by a rebound in Nvidia shares, which had plunged to start the week. Thursday's session showed how quickly the market's focus can shift from one company's earnings to its leadership.
