NEW YORK, July 1, 2026, 10:04 (EDT)
- NVIDIA Corporation NASDAQ:NVDA dropped 2.3% to $195.44 as of 9:48 a.m. EDT, sliding under $200 again after moving above that level on Tuesday.
- The stock’s market value swing was roughly $114 billion, topping the total dollar change from bigger percentage moves in smaller chip names over a full session.
- NVIDIA now makes up 7.50% of the SPDR S&P 500 ETF Trust and around 7.60% of the Invesco QQQ Trust, so its early slide hit passive funds right away.
NVIDIA Corporation NASDAQ:NVDA dropped under $200 early Wednesday, but the bigger signal was how much was wiped out. Shares hit $195.44, off 2.3% at 9:48 a.m. EDT. Market cap showed about $4.77 trillion. The stock was down $4.655 from Tuesday’s close. That’s about $114 billion lost in under 30 minutes of trading.
NVIDIA ended Tuesday at $200.09, 2.6% higher, based on Reuters data. Shares turned lower early Wednesday, erasing most of that gain and leaving the stock far below its 52-week high of $236.54 from MarketWatch. At $195.44, it’s still around 21% shy of that mark.
NVIDIA’s size made it the main mover in the chip pullback seen on tape at 9:48 a.m. EDT, with the whole sector sliding.
| Security | Google Finance ticker | Price | Move | Note |
|---|---|---|---|---|
| NVIDIA Corporation | NASDAQ:NVDA | $195.44 | -2.33% | Market cap at $4.77 trillion |
| Invesco QQQ Trust Series 1 | NASDAQ:QQQ | $728.79 | -1.03% | Nasdaq-100 tracker |
| SPDR S&P 500 ETF Trust | NYSEARCA:SPY | $743.81 | -0.40% | S&P 500 tracker |
| VanEck Semiconductor ETF | NASDAQ:SMH | $637.69 | -2.78% | Semiconductor ETF |
| iShares Semiconductor ETF | NASDAQ:SOXX | $620.16 | -3.22% | Semiconductor ETF |
| Advanced Micro Devices Inc. | NASDAQ:AMD | $560.79 | -3.46% | Market cap: $925.7 billion |
Early trading saw NVIDIA, QQQ, SPY, SMH, SOXX and Advanced Micro Devices Inc. NASDAQ:AMD all down, according to market data.
Index math explains the hit. State Street had NVIDIA at 7.50% in the SPDR S&P 500 ETF Trust and 7.52% in the S&P 500 index as of June 30. Over at Invesco, QQQ lists NVIDIA around 7.60%. A 2.33% drop in NVIDIA by itself knocks about 0.17 points off SPY and around 0.18 points off QQQ, before factoring in other stocks.
| Fund or index proxy | NVIDIA weight | Implied drag from NVIDIA’s early move |
|---|---|---|
| SPDR S&P 500 ETF Trust (NYSEARCA:SPY) | 7.50% fund weight | roughly -0.17 percentage point |
| S&P 500 index | 7.52% index weight | roughly -0.17 percentage point |
| Invesco QQQ Trust Series 1 NASDAQ:QQQ | about 7.60% | around -0.18 percentage point |
This is a straightforward risk for investors who assume they have little exposure to NVIDIA just because they don’t hold the stock itself. In cap-weighted funds, the exposure is there. Early NVIDIA weakness made up nearly 40% of SPY’s 0.40% loss and roughly 17% of QQQ’s 1.03% drop, using 9:48 a.m. quotes.
The market cap numbers tell the same story. NVIDIA dropped less than AMD on a percentage basis. But in dollars, NVIDIA lost a lot more.
| Company | Google Finance ticker | Stock move | Market value now | Approx. value impact today |
|---|---|---|---|---|
| NVIDIA Corporation | NASDAQ:NVDA | fell 2.33% | $4.77 trillion | loss of $114 billion |
| Advanced Micro Devices Inc. | NASDAQ:AMD | dropped 3.46% | $925.7 billion | lost $33 billion |
| Microsoft Corporation | NASDAQ:MSFT | rose 0.91% | $2.81 trillion | added $25 billion |
The numbers use early quoted prices and market caps for NVIDIA, AMD and Microsoft Corporation NASDAQ:MSFT.
The drop comes after a chip rally earlier in the year that didn’t center on NVIDIA, unlike the last two years’ AI-driven runs. Barron’s said Wednesday NVIDIA had only gained 7.3% for 2026 through Tuesday, while the PHLX Semiconductor Index jumped 101%. MarketWatch said the Nasdaq-100’s first-half jump was almost all from 10 names, led by Micron NASDAQ:MU, AMD, and Intel NASDAQ:INTC, leaving NVIDIA out front.
VanEck reported its Semiconductor ETF posted an 82.30% year-to-date gain through June 30, tracking the MVIS US Listed Semiconductor 25 Index. The ETF dropped 2.8% early Wednesday. The spread between this strong chip ETF return and NVIDIA’s lower performance is the shift traders are working to price in.
The main question is if AI spending can keep driving chip demand. Reuters said Tuesday that the five biggest hyperscalers are on track to near $1 trillion in AI capital spending this year. Goldman Sachs NYSE:GS says total spending could hit $7.6 trillion by 2031. SoftBank (TYO:9984) CEO Masayoshi Son dismissed concerns of a bubble, telling reporters: “It’s blasphemy against AI if you say it’s a bubble. It’s just the beginning. AI’s potential will be unlocked.” Reuters
The Bank for International Settlements sounded a warning in its annual report, saying weak returns may lead to a pullback in financing. That could drag the AI capex surge into a long downturn. “Disappointment in returns could trigger a sudden pullback in financing and turn the capex boom into a protracted investment bust, with potential knock-on effects on financial conditions,” the report said. Reuters
NVIDIA is sticking to its core of selling more chips and expanding its data-center range. CEO Jensen Huang told Computex in Taipei on June 2 that the Vera CPU will be “our new major growth driver,” according to Reuters. Shares have slipped from the May peak despite that outline. Reuters
U.S. stock markets are trading Wednesday. The next holiday is Friday, July 3, with both Nasdaq and NYSE closing for Independence Day observed.
