S&P 500, Nasdaq fall as Nvidia CEO's exit rattles AI stocks
SPY•The S&P 500 fell 0.29% and the Nasdaq dropped 0.56% as Nvidia shares sank 7.6% following CEO Jensen Huang's resignation, weighing on AI-related stocks. The Dow rose 0.07%; investors also awaited Friday's producer price data as oil prices climbed.
1. AI shares decline
Nvidia shares fell 7.6% after Jensen Huang's resignation unsettled investors, with Chief Financial Officer Colette Kress set to take over as interim CEO. Nebius slid 17% after forecasting 2026 revenue at the low end of its previous outlook, while CoreWeave fell about 7% and the Philadelphia semiconductor index lost 1.3%.
2. Indexes and stocks
At 9:45 a.m. ET, the Dow rose 0.07% to 52,522.02, the S&P 500 fell 0.29% to 7,597.32 and the Nasdaq dropped 0.56% to 25,322.31. Amazon rose 2.3%, while Nvidia rivals Advanced Micro Devices and Broadcom gained 4.3% and 5.5%, respectively. Strategy fell 6.6% after MSCI said it would remove the stock from its global indexes.
3. Inflation and oil watched
Investors were awaiting Friday's Producer Price Index after consumer prices rose more than expected the prior month. Brent crude rose 0.8%; traders viewed a December Federal Reserve rate hike as certain, with about a 13% chance of a 50-basis-point increase.
