The AI trade finally took a breather from its usual routine of “Google up, OpenAI-adjacent names down.” For the first time in a while, the pendulum swung the other way.
Over the past few weeks, the hot trade in AI has been simple: bet on Google and the companies feeding its supply chain, and fade anything tied to OpenAI. Google has been the golden child, while OpenAI suppliers and investors were stuck in the penalty box.
Today’s action looks different. Instead of the usual one-sided beatdown, it’s the OpenAI-linked group doing the heavy lifting, and that’s giving the broader market a boost.
Nvidia $NVDA ( ▲ 1.37% ) , CoreWeave $CRWV ( ▲ 4.21% ), Oracle $ORCL ( ▲ 4.03% ) , and AMD $AMD ( ▲ 3.93% ) are all moving sharply higher in early trading. Google $GOOGL is slightly in the red, while Broadcom $AVGO ( ▲ 3.26% ) and Lumentum $LITE ( ▲ 5.84% ) are positive but not keeping up with the OpenAI cohort.
Analyst Dan Ives summed up the mood with his usual flair, saying that despite the flood of AI spending benefiting a wide cast of players, it would be a mistake to underestimate Nvidia’s staying power. Or in his words, Nvidia is still the Rocky Balboa of the AI revolution, and that is not changing anytime soon.