Nvidia blasts through record high as AI euphoria drowns out trade turbulence

Nvidia shares are surging, not only regaining lost ground from the early-year Trump-China tariff upheaval and the DeepSeek-induced wobble, but also reaching a new record high. With a market cap now at an astonishing $3.77 trillion—overtaking Microsoft—this isn’t just a comeback. It’s a statement.

CEO Jensen Huang lit the fuse at Nvidia’s shareholder meeting, painting a “multitrillion-dollar” canvas of AI and robotics opportunity and declaring we’re only at the starting line of a decade-long AI infrastructure supercycle. Whether it’s sovereign AI, data center arms races, or the neocloud boom, demand is surging—and Nvidia’s riding the crest.

Micron’s blowout print added fuel to the fire. With $9.3 billion in revenue and its own bullish AI forecast, the supply chain story is syncing with the narrative. Concerns about hyperscalers pulling back? Fading fast. Amazon, Microsoft, and the entire GenAI complex are still laying track at breakneck speed.

Yes, the China overhang hasn’t disappeared. Trump’s move to tighten the screws on Nvidia’s H20 chips earlier this year effectively slammed the door on a $50 billion China TAM. DeepSeek’s tech leap didn’t help sentiment either, wiping $600 billion off Nvidia’s cap in weeks. But none of that stuck. Nvidia’s already working on a China-compliant Blackwell revamp—and investors are buying the pivot.

The broader message: in a $400 billion AI chip market, dominance beats disruption. Competitors like AMD are nipping at heels, but as Futurum Group’s Daniel Newman put it, “there’s no stack better than Nvidia.” Not when hyperscalers, sovereigns, and VC-fueled neoclouds are all queueing up.

From a market perspective, the breakout couldn’t come at a more symbolic time. Nvidia is shaking off the rust of early 2025 and reasserting its leadership in both narrative and numbers. For Asia, the signal is clear: AI remains the engine, and tech rotation may be far from over. This isn’t just a relief rally—it’s a reacceleration. Traders chasing momentum have a new North Star, and it’s glowing green.

From June 24th Blog Post “ The stock market’s obsession engine”.

When it comes to stock picking, single-stock traders have fixed their attention on one obsession: generative AI. And it’s not just drawing attention—it’s dominating the entire story. A 25% probability boost story is capturing all investor focus. Everything else is just background noise.
The Goldman Sachs GenAI basket is on a moon mission—RSI north of 70 for weeks, valuations stretched, narratives on fire. All the former bear ammo—capex digestion, Chinese chip water rationing, diffusion fatigue, supply chain bottlenecks—have been neutralized, mocked, or swept aside. The market’s not just chasing GenAI—it’s treating it like the new benchmark, rotating capital into anything with narrative momentum and earnings elasticity. Secular cyclicals with story arcs and high-beta heart rates are the new safe haven. Euphoric? Yes. And starting to smell a bit like June 2024’s blowoff top—with call options replacing logic.
The cloud complex is stirring. Oracle’s capacity warnings, AWS and Azure’s infra expansion into H2—suddenly the “cloud cliff” is being recast as a launchpad. MongoDB, Snowflake, Datadog—they’re all catching flows again. Amazon’s growth, steady at 17% year-on-year, has become a battleground—bulls see upside surprise on GenAI tailwinds, bears say margins are maxed, and hyperscalers are outgrowing them. This isn’t about revenues anymore—it’s about who gets the lion’s share of AI’s next S-curve.
Underneath, the stealth rally is forming in real-time production data. The Census Bureau says 9% of firms already use AI tools in production. That number is rising faster than Nvidia’s guidance. That’s your hidden productivity lever. AI is starting to offset tariff drag, operating like an invisible economic stimulus package with a silicon backbone.