Nvidia’s Loss, Rest of Stock Market Rallies as S&P 500 Gains 2.35%
Wall Street rallied on Monday even as Nvidia shares fell about 4.3% after CEO Jensen Huang admitted an affair and the company opened an inquiry. The S&P 500 had its best day since April, while the Nasdaq jumped 2.7%.
Nvidia shares fell about 4.3% on Monday, November 9, 2026, even as the S&P 500 rose 2.35% for its best day since April. Nvidia’s loss was the rest of the stock market’s gain, with gains spread from tech to industrials.
The Nasdaq surged 2.7%, its best day since July. The Dow also climbed as markets kept rebounding from last week’s steep sell-off.
Why Nvidia fell
Nvidia dropped after CEO Jensen Huang admitted to an extramarital affair. The company said it was investigating reports that he was the “target of a foreign intelligence effort.” President Donald Trump said Monday evening that the FBI was looking into the matter.
The stock fell as much as 8.8% shortly after the opening bell before paring some losses. The drop erased roughly $192 billion from Nvidia’s market value.
Nvidia shares are down 25% since their peak a month ago. Last week they erased their gains for this year.
“While the Board has no reason to believe that either national security or NVIDIA secrets were compromised, the Board’s inquiry will examine all available information,” Nvidia said in a statement Sunday. Huang told staff in a separate note: “I am committed to protecting NVIDIA and supporting America’s national security.”
What investors are weighing
Analysts at Citi wrote that the key questions are whether the board’s investigation finds anything more serious that could jeopardize Huang’s role as CEO, and whether regulators could constrain sales.
Nvidia accounts for roughly 7% of the S&P 500. Last year it became the first company to surpass $5 trillion in market value. Its shares are up 1,250% over the past four years.
The news lands as the AI boom looks shakier. Volatility has risen in recent weeks over worries about the sustainability of the data center buildout. The Democratic sweep in the midterm elections is also forcing investors to weigh the risk of a slowdown in that spending.
The Nasdaq Composite closed Thursday in correction territory, down more than 10% from its peak a month earlier. It rallied Friday and again Monday.
Other market moves
Chip stocks beyond Nvidia rallied. AMD jumped 9% after Oppenheimer upgraded it to Buy.
The 10-year Treasury yield eased to 4.85%. Brent crude futures tumbled 4% to near $94 a barrel, while WTI slipped to $87.
