U.S. stocks posted their best weekly gain since August as CoreWeave’s strong earnings revived AI optimism, offsetting a late‑week tech sell‑off triggered by Nvidia CEO Jensen Huang’s abrupt resignation.
The S&P 500 rose 2.51 percent to 7,561, the Nasdaq climbed 2.27 percent to 25,136, and the Dow added 2.07 percent to 52,347, while the Russell 2000 gained 1.32 percent. The CBOE Volatility Index fell 24.73 percent to 19.30.
However, the week closed lower as the 10‑year Treasury yield rose to 5.15 percent, up from 4.88 percent at week’s start, after hotter‑than‑expected inflation data revived expectations of further Federal Reserve rate hikes.
Nvidia Shake‑Up
Investors grew uneasy after Nvidia chief executive Jensen Huang resigned, triggering a sell‑off on Thursday that hit the chip giant and its suppliers.
“Jensen Huang’s resignation is the worst‑case scenario during this entire saga, as he was not just a leader, but a visionary for the company,” Michael Landsberg, chief investment officer of Punta Gorda‑based Landsberg Bennett Private Wealth Management, told The Epoch Times.
Landsberg warned that questions surround how Nvidia’s innovation will evolve under CFO and interim CEO Colette Kress, a capable and respected executive, and expects the stock to remain under pressure for some time as a “leadership discount” is priced in.
Nvidia shares fell 12.75 percent for the week, and analysts anticipate continued weakness.
The fall was largely confined to Nvidia and its suppliers; rivals Advanced Micro Devices and Broadcom rose, and the iShares Semiconductor ETF stayed flat on Thursday before dropping 3.67 percent on Friday, pulling the Nasdaq down 0.91 percent.
Inflation Reignites Rate Worries
The Labor Department’s October consumer‑price index came in hotter than expected, pushing the 10‑year yield above 5 percent after a two‑month decline.
Headline CPI rose 0.4 percent month‑over‑month, slower than September’s 0.6 percent gain but above the 0.3 percent forecast, while core CPI increased 0.3 percent versus the 0.2 percent expectation.
“Tuesday’s CPI was stronger‑than‑expected, which sets the stage for another rate hike in December,” Skyler Weinand, chief investment officer of Dallas‑based Regan Capital, told The Epoch Times, adding that voter frustration with inflation left the Fed little choice but to act.
Bret Kenwell, U.S. investment analyst at eToro, noted the yield had retreated for five straight weeks from multidecade highs near 5.4 percent before the inflation report threatened to break that streak, and the shorter end of the curve remains sensitive to Fed expectations.
Stocks fell Tuesday, with the Nasdaq down 0.74 percent, the Russell 2000 off 0.68 percent, the S&P 500 down 0.38 percent and the Dow down 0.30 percent.
CoreWeave Revives AI Trade
CoreWeave’s third‑quarter revenue of $3.66 billion topped the Zacks consensus of $3.55 billion, and the company lifted its 2026 revenue outlook to $13 billion‑$13.3 billion, while projecting adjusted operating income of $1.275 billion‑$1.375 billion, a 26 percent increase at the midpoint.
The iShares Semiconductor ETF rallied 6 percent on Wednesday, helping the Nasdaq climb 1.60 percent, while the S&P 500, Dow and Russell 2000 rose 1.31 percent, 0.49 percent and 0.88 percent respectively. Treasury markets were closed for Veterans Day.
AI sentiment had begun Monday when chip stocks that had been sold off the prior week sparked a broad rally; the semiconductor ETF jumped 7.49 percent despite Nvidia’s decline, and the Nasdaq, S&P 500 and Dow advanced 2.74 percent, 2.35 percent and 2.15 percent, with the Russell 2000 up 3.15 percent.
Oil Swings
Energy markets swung as Brent crude settled at $92.57 a barrel on Monday, its lowest level since August 31, extending the prior week’s 13.3 percent drop on hopes for a diplomatic U.S.–Iran resolution. Prices fell near $91.50 on Tuesday before rebounding to about $96 on Thursday amid speculation that Washington no longer needs an Iran deal, while rising oil prices and yields pressured small‑cap shares, sending the Russell 2000 down 1.66 percent on Thursday.
Outlook
Despite Friday’s modest declines — S&P 500 down 0.40 percent, Russell 2000 off 0.31 percent, Dow up 0.10 percent — the market recovered from earlier steep losses.
Weinand said investors have shifted from AI plays into defensive sectors such as healthcare, rattling leveraged funds and momentum traders, and he expects earnings to keep benefiting from strong government and corporate spending.
He projects 15‑20 percent earnings growth to sustain double‑digit stock market returns, making a repeat of the past two quarters’ growth unlikely but still supportive of market gains.
