Midday update

Chips led Monday's midday session. The semiconductor basket rose 6.42% on average, and Nvidia was the one name moving the other way.

• $AMD rose 12.02% to an $808B market cap. Oppenheimer upgraded it to Outperform from Perform with a $600 target, 34% above Friday's close. The firm cited a bullish Q3 call and a fireside chat with CFO Jean Hu, and models 135% data-center revenue growth in 2027.

• NVDA fell 5.64% to $4.21T, its 4th-largest dollar drop in 19.8 years. Nvidia opened an internal investigation into reports about CEO Jensen Huang. No immediate direct impact on sales or earnings is reported, but key-person risk is now in focus.

• Across 325 prior NVDA drops of at least 4%, 65% were positive 63 trading days later, with a median gain of +10.8%. Those past selloffs had different causes than this one.

• Breadth: technology +4.56% with 16 of 18 names up. Consumer staples sat flat at +0.06%, and oil and gas rose 0.86% with more decliners than advancers.

Morgan Stanley and UBS called last week's AI selloff overdone and pointed to Nvidia's November 17 earnings and Anthropic's IPO as the next tests. The first one arrives in eight days.

Not financial advice. For informational and educational purposes only.