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Nvidia Rebound Triggers 5.5% Surge in Leveraged ETFs as AI Momentum Defies Macro Volatility

Summarized by NextFin AI
  • Semiconductor stocks rebounded on March 9, 2026, with NVIDIA leading the charge, rising 2.68% to $182.65, while the GraniteShares 2x Long NVDA Daily ETF surged 5.5%.
  • The Nasdaq-100 index increased by 1.34% to $607.76, reflecting renewed investor confidence after a drop in oil prices due to positive geopolitical developments.
  • NVIDIA reported a remarkable fourth-quarter revenue of $68.13 billion, a 73% year-over-year increase, driven by a significant rise in data center demand for AI infrastructure.
  • Looking ahead, the upcoming GPU Technology Conference is expected to showcase advancements in AI technology, with NVIDIA forecasting $78 billion in revenue for Q1 FY2027, excluding potential earnings from China.

NextFin News - Semiconductor stocks staged a defiant recovery on Monday, March 9, 2026, as investors shrugged off overnight volatility in the energy markets to double down on the artificial intelligence trade. The rebound was led by NVIDIA, which saw its shares climb 2.68% to close at $182.65, triggering a massive 5.5% surge in the GraniteShares 2x Long NVDA Daily ETF (NVDL). The move marks a sharp reversal from Sunday night, when Nasdaq futures plummeted as much as 2.7% amid fears of escalating geopolitical tension.

The sudden shift in sentiment followed a dramatic cooling in the oil markets. After WTI crude briefly touched $120 per barrel in overnight trading, prices retreated toward $88.65 following optimistic signals from U.S. President Trump regarding a swift resolution to the Iran conflict. This easing of macro pressure allowed the market to refocus on the underlying strength of the chip sector, which remains the primary engine of the current bull cycle. The Nasdaq-100 reflected this optimism, finishing the day up 1.34% at $607.76.

NVIDIA’s performance continues to be underpinned by financial results that defy the typical gravity of large-cap growth. The company recently reported fourth-quarter revenue of $68.13 billion, a 73% increase from the previous year, while its networking revenue—a critical component of the Blackwell architecture rollout—exploded by 263%. This growth is not merely a product of hardware sales but a fundamental shift in how data centers are being built. The Data Center segment alone accounted for $62.31 billion of the quarterly total, proving that the appetite for AI infrastructure has yet to find its ceiling.

The leverage inherent in products like NVDL and the Direxion Daily NVDA Bull 2X (NVDU) amplified these gains for aggressive traders, both closing up roughly 5.5%. Conversely, those betting against the "AI king" faced another punishing session. The Tradr 1.5X Short NVDA Daily (NVDS) fell 4.22%, extending a disastrous 12-month run that has seen the inverse fund lose 69% of its value. The relentless upward trajectory of the semiconductor complex has made shorting these names a costly endeavor, as daily compounding decay erodes capital even during minor pullbacks.

Attention is now shifting toward the upcoming GPU Technology Conference (GTC), scheduled for March 16–19 in San Jose. Historically a launchpad for major architectural shifts, this year’s event is expected to center on "Agentic AI" and the transition from the Blackwell platform to the next-generation Vera Rubin architecture. CEO Jensen Huang has already signaled that the "agentic AI inflection point has arrived," suggesting that the next phase of growth will come from autonomous AI systems capable of complex reasoning and physical interaction.

While macro uncertainty remains a persistent shadow, the fundamental outlook for the sector is bolstered by a lack of significant competition in high-end inference. NVIDIA’s guidance for the first quarter of fiscal 2027 stands at $78 billion, a figure that notably excludes any potential revenue from China due to ongoing export restrictions. Should U.S. President Trump’s administration navigate a path toward easing these trade barriers, the revenue ceiling for the semiconductor industry could be pushed even higher. For now, the market seems content to ride the momentum of a sector that has become the undisputed proxy for global technological progress.

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