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Nvidia The stock fell more than 2% on Monday, with the darling of AI chips officially entering correction territory.
Trades in chipmakers and de facto artificial intelligence have risen 165% this year as excitement over hot technology trends continues. However, stock prices have been in decline recently. The stock has officially entered correction territory after falling 5% in December, leaving it about 12% off last month’s closing high of $148.88.
Definitions of what constitutes a market adjustment may vary. In general, many believe that the stock has fallen by more than 10% from its all-time high.
NVIDIA stock on Monday
Nvidia’s recent poor performance could lead to some profit-taking on Wall Street after another strong year. Since ChatGPT was announced in late 2022, manufacturers of graphics processing units that support large language models have benefited from growing data center demand.
However, there are some reasons to be concerned about the market leaders and fundamental players among the three major averages. Even as Nvidia’s performance is sluggish, the market continues to hit new highs. If this pattern continues, this could be a warning signal, with Ross-MKM pointing out that the $125-$130 level will be a key test for stocks and the market as a whole.
While Nvidia is struggling, other semiconductor manufacturing stocks are doing well. broadcom Power up to new heights. The stock rose about 8% during Monday trading. Other semiconductor stocks also rose on Monday. micron technology This is trending at a level that exceeds the quarterly results by approximately 7%. marvel technology Although it increased by 2%, ON Semiconductor, ram research and taiwan semiconductor Add at least 1%.
