Nvidia Hits $5 Trillion Milestone as AI Push Fuels Market Rally


Nvidia Hits $5 Trillion Milestone as AI Push Fuels Market Rally
Image source: CoinToday
- Nvidia achieves historic $5 trillion valuation amid AI-driven surge. - Broader tech rally propels U.S. indexes to record highs. Nvidia made history on October 29, 2025, becoming the first company in the world to reach a $5 trillion market valuation. This milestone was fueled by expectations of securing $500 billion in orders for its artificial intelligence chips. An ambitious plan to build seven supercomputers for the U.S. government also contributed. Nvidia’s stock climbed more than 4% on the day, adding to its impressive year-to-date gains of over 50%. On October 29, Cryptopolitan reported that Nvidia announced a $1 billion investment in Nokia. The companies will jointly develop 6G wireless technology. This strategic move amplified optimism across the tech industry and boosted investor enthusiasm for innovation. Market giants Apple and Microsoft also saw their market capitalizations surpass $4 trillion, reflecting the immense growth potential AI represents. Nvidia’s valuation surge sent shockwaves through broader financial markets. The rally in tech stocks pushed U.S. indexes, including the Nasdaq, S&P 500, and Dow Jones, to all-time intraday highs. The global momentum around AI continues to be a defining force for equities, driving unprecedented growth this year. However, on October 29, Cryptopolitan also referenced cautionary notes from financial institutions like the International Monetary Fund and the Bank of England. These institutions warned about the rapid escalation in AI stock valuations. Analysts warn that a slowdown in AI-related investments could negatively impact global equities. Yet, enthusiasm remains strong as tech companies prioritize AI and emerging technologies. Meanwhile, the market anticipates the Federal Reserve will announce a rate cut, which could further stimulate activity. Traders are also closely watching diplomatic developments, such as the upcoming U.S.-China presidential meeting, for their implications on trade and tariffs. Nvidia’s achievement marks a groundbreaking moment in technology and finance. It solidifies the company's position as a global leader while highlighting AI’s transformative impact on economic growth.
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Market
Published
2025-10-29 15:14
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