Written by: Chao Xiang Research

The news of Jensen Huang's resignation put pressure on the US stock market at the opening on Thursday, with the Nasdaq dropping as much as 1.6% in early trading, and NVIDIA's intraday decline reaching 14%.

Subsequently, the selling pressure gradually eased. The three major indices closed down about 0.4%, while AMD and Broadcom rose nearly 6%, absorbing the capital flowing out of NVIDIA.

The three major indices slightly decline, Russell 2000 drops 1.7%

The following are the trading results for Thursday, November 12, Eastern Time.

The Dow Jones fell by 189.40 points, a decrease of 0.36%, closing at 52,297.09 points.

The S&P 500 dropped 0.35%, closing at 7,592.40 points; the Nasdaq fell 0.39%, closing at 25,366.09 points.

Small-cap stocks fell even more, with the Russell 2000 dropping 1.7%.

According to the AP statistics, in the first four trading days of this week, the S&P 500 rose a cumulative 2.9%, the Dow Jones rose 2%, and the Nasdaq rose 3.2%.

Jensen Huang resigns, NVIDIA closes down 4.3%

NVIDIA announced on Thursday morning that Jensen Huang has resigned as CEO, president, and board member effective immediately.

Chief Financial Officer Colette Kress will serve as interim CEO, and the company will look for a formal successor from both internal and external candidates. Senior tech executive Harvey Jones will take the role of chairman.

NVIDIA's stock price initially fell 14% at the opening, with the closing decline narrowing to 4.3%, at $166.19. Investopedia noted that the stock price has fallen nearly 40% from last year's peak.

Reuters reported that NVIDIA's current expected price-to-earnings ratio is about 12 times, the lowest since 2012.

NVIDIA will announce its third-quarter financial results next week, to be hosted by Kress.

AMD and Broadcom rise nearly 6%, NVIDIA-related stocks under pressure

Competitors had the opposite trend. AMD rose 5.9%, while Broadcom rose 5.5%, both leading the S&P 500.

Other chip stocks showed mixed performance. Intel, Marvell, and Micron all fell about 2%, with the Philadelphia Semiconductor Index declining 0.5%.

Companies closely related to NVIDIA generally fell. CoreWeave, after surging about 25% the previous day, fell 7%, Nebius dropped 17% after its financial report, and Lumentum fell 4%.

Supermicro fell 11%. Bloomberg reported that the US Department of Justice is investigating whether a woman associated with Jensen Huang was involved in smuggling Supermicro products to China.

Alibaba listed in the US fell 7.1%. Apple reached a historic high of nearly $360 during trading, closing slightly down by 0.1%.

Additionally, media such as CNBC reported that the US Department of Commerce is finalizing new regulations requiring licenses for the export of Blackwell class and newer AI chips to seven countries including Singapore, Malaysia, Thailand, and Indonesia, and restricting Chinese companies from remotely using these chips through overseas data centers.

US Treasury yields surge, oil prices jump 3%

The yield on the 10-year US Treasury bond rose about 11.6 basis points to 5.105%, returning to above 5%; the 2-year yield rose to 4.867%, the highest since October 14.

Federal funds futures indicate that the market expects the Federal Reserve to raise interest rates by about 29 basis points in December. The dollar index rose to 103.18, the highest in 19 months.

Gold futures fell 3.1% to about $3,880 per ounce, the lowest since October 2025. Bitcoin fell to around $71,500.

Oil prices rebounded sharply. Trump stated on social media that the US "does not need to reach an agreement with Iran," and the Yemen Houthi armed group claimed to have attacked multiple energy facilities in Saudi Arabia.

Brent crude rose by $3.06, an increase of 3.3%, settling at $95.82 per barrel; WTI crude rose by $2.21, an increase of 2.6%, settling at $88.74 per barrel.

In economic data, as of the week ending November 7, initial jobless claims increased by 9,000 to 200,000, slightly above the expected 195,000.

October existing home sales fell by 5.5% month-over-month, at an annualized rate of 3.75 million units, below the expected 3.85 million units, the lowest since August 2010.

Cisco rises 3% after hours, Applied Materials fluctuates

Cisco reported revenues of $18.5 billion for Q1 of fiscal year 2027, with adjusted earnings per share of $1.40, both exceeding expectations. The company raised its annual revenue guidance to $74.8 billion to $75.8 billion, and its stock price rose about 3% after hours.

Applied Materials reported Q4 revenues of $10.41 billion, a 53% year-over-year increase, setting a record high, with adjusted earnings per share of $4.16. The revenue guidance for the next quarter is around $11 billion with a fluctuation of $500 million, higher than expected, but the stock price initially rose and then fell after hours.

AI chip company Cerebras reported Q3 revenues of $230.9 million, exceeding expectations and raising its annual revenue guidance to $940 million to $960 million, with its stock price rising about 12% after hours.

The Investor's Business Daily reported that as of Thursday evening Eastern Time, the three major stock index futures were slightly up.

Today's Focus

The following are all in Beijing time.

Friday 21:30: US October PPI. Following an above-expectation CPI this week, the PPI will further affect expectations for the interest rate hike in December.

NVIDIA Follow-up: The formal CEO candidate, next week's financial report, and progress on new US chip export regulations.

US Treasuries and oil prices: Whether the 10-year yield can hold above 5%, and the impact of the US-Iran situation on oil prices.