Stock market's S&P 500 soars with Nvidia's substantial investment in Intel
In a significant move, Nvidia has announced a $5 billion investment in Intel through a chip deal. This news has sent ripples across the tech industry, with both Nvidia stock and Intel stock seeing changes in their prices.
Nvidia's shares gained 3% following the announcement, indicating a positive market response to the strategic partnership. On the other hand, Intel soared nearly 30% in premarket trading, reaching around $32.20, suggesting investors are optimistic about the collaboration.
Meanwhile, the tech market is also keeping a close eye on the potential China ban on Nvidia AI chips and the upcoming Federal Reserve decision, which seems to have muted the S&P 500 and Nasdaq.
Meanwhile, in a move that could challenge Nvidia's dominance in AI hardware, Huawei Technologies has unveiled a new strategy. The Chinese tech giant has developed and manufactured its own AI accelerators, termed Ascend 950, using domestic semiconductor foundry SMIC. This new technology represents a major step forward for Huawei, aiming to compete with Nvidia in the AI hardware sector.
Huawei's new strategy also involves the use of new memory-chip technology for AI accelerators. This could potentially provide an edge in terms of performance and efficiency, further intensifying the competition.
On the crypto front, the news of Nvidia's investment in Intel has buoyed the Bitcoin price and several other coins. The U.S. Securities and Exchange Commission (SEC) has also given the green light for Grayscale to convert its Digital Large Cap fund into an exchange-traded fund (ETF). Additionally, the SEC has approved generic listing standards for crypto ETF products, a move that could further boost the crypto market.
These developments underscore the dynamic and interconnected nature of the tech and crypto industries, with each move by major players like Nvidia and Huawei having far-reaching implications. As these companies continue to innovate and strategise, it will be interesting to see how the market responds and evolves.
Read also:
- Musk threatens Apple with litigation amidst increasing conflict surrounding Altman's OpenAI endeavor
- Transitioning to Electric Vehicles Places Heavy Demand on Power Grids
- E-mobility continues its progress after a decade since the scandal, staying on course
- The Commission deems the assistance program to be in agreement with the domestic market regulations.
