Friday, November 16, 2018

And another not bad day for the market

It was a decent day in the world of my retirement account. The DJIA and the S&P both closed up but the Nasdaq closed down. That's because the Nasdaq is the market where most tech stocks are traded and one of those tech stocks took a real bath today.

NVidia used to be known for making high end graphics cards but over the last few years, their cards have become a hot commodity with the cryptocoin miners.

You see, graphics and cryptocoin mining are both very math intensive and the NVidia cards do math really well. As a result, over the last few years, the crypto guys have been snapping up NVidia cards by the trainload, driving up the prices and driving up NVidia's profits.

Over the last few days, analysts have discovered that the cost of the electricity to run all those graphics cards has exceeded the value of the cryptocoins and the coin miners have stopped buying the cards. This caused the stock value of NVidia to plummet.

As a matter of fact, it plummeted 20% today.

That's a lot.


Here are some links that you might like:

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