Nvidia (NVDA) gained 3.04% intraday after falling 3.52% on Monday

Nvidia (NVDA) shares gained 3.04% in intraday trading on Thursday, reversing a 3.52% decline from the prior session. The recent volatility reflects broader market dynamics affecting the semiconductor sector. On Wednesday, the stock traded ex-dividend, which typically results in a minor price adjustment. The broader market also faced downward pressure following stronger-than-expected U.S. jobs data, which reinforced expectations that the Federal Reserve may maintain elevated interest rates for an extended period. This environment often weighs on high-valuation growth stocks like Nvidia.

Despite the recent pullback, Nvidia continues to benefit from strong demand for its AI chips, with recent quarterly results showing robust revenue growth and a full-year sales outlook that supports its premium valuation. However, investors appear to be shifting focus toward other AI-related plays, including memory and networking firms, as well as emerging AI companies such as OpenAI and Anthropic, which are reportedly preparing for public market debuts. Analysts suggest that the AI trade is evolving from a momentum-driven narrative into a more tactical investment approach.