The Nvidia (NVDA)-led rally in stocks this month has now pushed the returns of the S&P 500 and Nasdaq above bitcoin. .
With further gains on Tuesday while bitcoin fell, the S&P 500’s 17% year-to-date gain is ahead of BTC’s 16% gain. Nasdaq has extended its lead over bitcoin, now higher by 24%. Gold continues to be the best performing major asset class, up 50%.
No rally in US stocks can be talked about mentioning the Mag 7 names, and specifically within that group Nvidia (NVDA). Shares are up 17% over the past five days amid a continued flurry of AI-related partnership deals, pushing the company’s market capitalization above $5 trillion early Wednesday.
Microsoft ( MSFT ) and Apple ( APPL ) remain just behind NVIDIA, each valued at around $4 trillion.
According to X-account Hedgie Markets, NVIDIA is responsible for nearly 20% of the S&P 500’s gains this year and now accounts for 8.3% of the index’s total weighting.
To put Nvidia’s size into perspective, the company’s market cap is now greater than the combined values of AMD, Arm Holdings, ASML, Broadcom, Intel, Lam Research, Micron, Qualcomm and Taiwan Semi, according to Dow Jones Market Data.
Nvidia’s growth has coincided with the huge development in artificial intelligence. On Tuesday alone, the company announced a series of new partnerships with Palantir ( PLTR ) and Samsung, a $1 billion investment in Nokia and a potential collaboration with the US Department of Energy to build new supercomputers.
It’s more of the same in opening action on Wednesday, with the Nasdaq up 0.5%, Nvidia up 4.6% and bitcoin slipping back below $113,000, about 10% below its all-time high.
