Bad news hits U.S. stocks—still falling after hours?
Obviously. The market isn’t worried about Nvidia dropping 1%; it’s worried that nobody else dares to splash cash around as freely as Jensen Huang.
Take a look at the after-hours data: leveraged ETFs are even more rattled than the underlying stocks:
SOXL fell 4.53% after hours. Cerebras had just soared 11% during the day, but still got pushed down 2.50% after hours. AMD fell 2.41% after hours, while Nvidia itself was down 1.13%. The gains from the daytime rebound were completely wiped out after hours.
There are two reasons: one macro, one micro.
On Friday, Boston Fed President Collins struck a hawkish note again, saying monetary policy may need to be tightened to cool prices.
The other reason hits closer to home: after Jensen Huang’s resignation, CFO Colette Kress has stepped in temporarily. Wall Street is betting that the first thing she’ll do is tighten Nvidia’s guarantees and financing for the AI ecosystem. Put simply, the market isn’t trading on “AI is over”; it’s trading on “from now on, nobody will dare hand customers money to buy chips as recklessly as Jensen did.”
My stance on what to do is straightforward: I wouldn’t buy the dip at these after-hours levels. If SOXL can’t close back above 63 intraday, keep holding the short position. First take-profit target is around 50.$SOXL $NVDA #英伟达正物色新CEO，谁会接替黄仁勋？ $KORU
Obviously. The market isn’t worried about Nvidia dropping 1%; it’s worried that nobody else dares to splash cash around as freely as Jensen Huang.
Take a look at the after-hours data: leveraged ETFs are even more rattled than the underlying stocks:
SOXL fell 4.53% after hours. Cerebras had just soared 11% during the day, but still got pushed down 2.50% after hours. AMD fell 2.41% after hours, while Nvidia itself was down 1.13%. The gains from the daytime rebound were completely wiped out after hours.
There are two reasons: one macro, one micro.
On Friday, Boston Fed President Collins struck a hawkish note again, saying monetary policy may need to be tightened to cool prices.
The other reason hits closer to home: after Jensen Huang’s resignation, CFO Colette Kress has stepped in temporarily. Wall Street is betting that the first thing she’ll do is tighten Nvidia’s guarantees and financing for the AI ecosystem. Put simply, the market isn’t trading on “AI is over”; it’s trading on “from now on, nobody will dare hand customers money to buy chips as recklessly as Jensen did.”
My stance on what to do is straightforward: I wouldn’t buy the dip at these after-hours levels. If SOXL can’t close back above 63 intraday, keep holding the short position. First take-profit target is around 50.$SOXL $NVDA #英伟达正物色新CEO，谁会接替黄仁勋？ $KORU
