On Monday, February 10, 2025, Nvidia’s stock experienced a notable rally, rising nearly 3% to close at $134.45. This surge occurred despite recent reports that OpenAI, the creator of ChatGPT, is advancing plans to develop its own AI chips, potentially reducing its reliance on Nvidia’s processors. OpenAI aims to finalize the design soon, with mass production by TSMC expected in 2026.

Nvidia’s resilience in the market suggests that investors remain confident in the company’s position within the AI sector. Major cloud computing providers, including Alphabet, Amazon, Meta Platforms, and Microsoft, have reaffirmed their investments in AI data centers, indicating sustained demand for Nvidia’s high-performance chips. Additionally, Evercore ISI analyst Mark Lipacis upgraded Nvidia to “tactical outperform” with a price target of $190, anticipating positive fiscal fourth-quarter results.

In broader market movements, the Dow Jones Industrial Average rose by 0.4%, with significant contributions from tech-related stocks like Nvidia. This uptick occurred as investors appeared to take President Trump’s latest tariff threats in stride. Over the weekend, President Trump announced plans to impose a 25% tariff on all steel and aluminum imports, in addition to existing duties.

The market’s positive response, despite potential trade tensions, may reflect investor confidence in the economy and the belief that previous trade negotiations, such as those with Mexico and Canada, have strengthened the U.S. position. The resilience of major indexes suggests that investors are optimistic about the market’s ability to navigate upcoming challenges.