As inflation concerns triggered a broad selloff in U.S. stocks, the semiconductor index dropped more than 1%, with major chip stocks declining across the board—except for NVIDIA.
On Friday, the semiconductor index fell 1.63%, closing at 5,009.34 points, but it remained above the 5,000 mark.
NVIDIA defied the trend, rising 0.90% to $129.84 and pushing its market capitalization to $3.18 trillion.
NVIDIA’s surge appears to be driven by Amazon’s announcement of a $100 billion investment in artificial intelligence (AI) this year, up from $83 billion last year, following its earnings report.
Amazon’s AI spending surpasses that of its tech rivals. Microsoft has allocated $80 billion for AI, while Alphabet and Meta have set aside $75 billion and $65 billion, respectively.
NVIDIA’s positive close reflects major U.S. tech firms’ continued strong investment in AI.
In contrast, competitor AMD saw its stock drop 2.26%.
Other semiconductor giants declined: Intel fell 1.44%, Qualcomm slid 0.80%, Broadcom lost 2.81%, and ARM dropped 2.96%.
These losses contributed to the semiconductor index closing down more than 1%.
