Nvidia News Rattles U.S. Stocks as AI Hardware Comes Under Pressure
U.S. stocks opened lower and stayed choppy on Thursday, with all four major indexes closing down, after news that Nvidia CEO Jensen Huang resigned as Nvidia CEO sparked market volatility. Nvidia plunged as much as 14% intraday and closed down 4.34%, sharply off its lows. The Philadelphia Semiconductor Index fell 0.54%, with chip stocks diverging sharply. Analyst Lin Han-wei said Taiwan stocks entered a sector-rotation session on the 13th, as the market is not broadly bearish on AI but funds are starting to pick new beneficiary groups.
Funds Stay in Tech Stocks, Shifting to Other AI Chip Names
Notably, funds did not exit tech stocks broadly but rotated into other AI chip and technology companies. Among semiconductor stocks, AMD rose 5.86% and Broadcom rose 5.54%, rallying against the trend. Among tech giants, Nvidia fell 4.34%, while Google rose 1.79% to close higher. Lin Han-wei added that news of Nvidia's leadership change shook the market, while AMD and Broadcom rose against the trend, showing funds shifting to other AI chip and technology companies.
Dollar Rebounds, Oil Rises as Taiex Night Futures Rebound
On the macro front, the dollar rebounded, U.S. Treasury yields moved higher, and international oil prices rose across the board. Taiex futures rose 548 points in the night session, up 1.27%, indicating dip-buying remains in Taiwan stocks. TSMC ADR fell 1.86%, breaking below monthly-line support, leaving electronic heavyweights still under pressure. TSMC futures rose NT$5 to NT$2393 in the night session, with monthly-line support in focus ahead.
Taiwan Sector Rotation With Non-Tech Themes and Electronics Advancing Together
Analyst Lin Han-wei reviewed today's sector and stock performance. In non-tech and thematic concept stocks, shipping names were Evergreen Marine, China Airlines, Wan Hai Lines and EVA Airways; green energy names were Canghe, Guosh硕, United Renewable Energy and Motech, with major players positioning; low-earth-orbit satellite names were Compeq, Transcom, WIN Semiconductors and Wistron NeWeb; optics names were Genius Electronic Optical, GIS-KY, Guanxidiан and Lianyi Optics, consolidating in a choppy range; robotics names were Tongtai, Mirle, Bintai and Takisawa Tech, with domestic funds positioning. In electronics and technology stocks, substrate names were Unimicron, Kinsus, Zhen Ding-KY and Nan Ya PCB, testing support; PCB names were Fulltech, Gold Circuit Electronics, Nan Ya and Taiwan Glass, consolidating in a choppy range; investment-trust-held stocks were Dali, Chroma ATE, Chenbro and MPI; memory names were Nanya Technology, Winbond, Powerchip and Phison; passive components were Sincere, Holy Stone, Walsin Technology and Yageo, in consolidation; IC design names were MediaTek, Global Unichip, Alchip-KY and VIA Labs, relatively strong; silicon photonics names were Linktel, Huaxingguang, Browave and Shangquan, broadly pulling back; AI server names were In Win Development, Shuanghong, Chuan Hu and Qihong, facing pressure; software names were Dashi Ke, Huahong 資, Smart Link Service and Dongjie Information, on thematic buying. Source: analyst Lin Han-wei morning report.