Nvidia Shares Surge 10% After SpaceX AI Deal

Nvidia shares closed the week at $223.96, marking a gain of more than 10% after a series of positive developments, most notably an exclusive AI infrastructure deal with SpaceX. The aerospace company, led by CEO Elon Musk, announced during its inaugural earnings call on Tuesday that it would rely solely on Nvidia’s upcoming Vera Rubin architecture for its data center needs, both on Earth and in space. This endorsement provided a significant boost to market sentiment, helping semiconductor stocks recover from recent anxiety over artificial intelligence valuations.

The SpaceX announcement was the primary catalyst for Nvidia’s weekly surge. Musk stated that the company plans to deploy Nvidia’s Vera Rubin-powered NVL72 rackscale systems for terrestrial operations, with customized variants intended for orbital installations. While the financial terms of the deal were not disclosed, the partnership is viewed as a major validation of Nvidia’s platform strength ahead of its own earnings report scheduled for August 26. The news helped lift the broader Philadelphia Semiconductor Index, which climbed more than 8% over the five-day period.

Despite the rally, some concerns emerged regarding...