The stock rally led by Nvidia (NVDA) this month has pushed the returns of the S&P 500 and Nasdaq above those of bitcoin. .
With additional gains on Tuesday as bitcoin fell, the S&P 500’s 17% year-to-date rise is ahead of BTC’s 16% advance. The Nasdaq has extended its lead over bitcoin, which is now up 24%. Gold remains the top performing asset class, up 50%.
You can’t talk about any rally in US stocks without mentioning the names of Mag 7, and specifically within that group, Nvidia (NVDA). Shares have risen 17% over the past five days amid a continued flurry of AI-related partnership deals, pushing the company’s market capitalization to more than $5 trillion as of early Wednesday.
Microsoft (MSFT) and Apple (APPL) follow just behind NVIDIA, each valued at around $4 trillion in market capitalization.
According to the X Hedgie Markets account, NVIDIA is responsible for nearly 20% of the S&P 500’s gains this year and now accounts for 8.3% of the index’s total weighting.
To put Nvidia’s size in perspective, the company’s market capitalization is now larger than the combined values of AMD, Arm Holdings, ASML, Broadcom, Intel, Lam Research, Micron, Qualcomm and Taiwan Semi, according to Dow Jones Market Data.
Nvidia’s growth has coincided with enormous advances in artificial intelligence. On Tuesday alone, the company announced a series of new partnerships with Palantir (PLTR) and Samsung, a $1 billion investment in Nokia, and a potential collaboration with the U.S. Department of Energy to build new supercomputers.
It’s more of the same in Wednesday’s opening action, with the Nasdaq up 0.5%, Nvidia up 4.6% and bitcoin falling below $113,000, about 10% below its all-time high.
