When Nvidia (NASDAQ: NVDA) chief executive Jensen Huang resigned after reports of his personal conduct, shares fell 5.7% on the day, taking the company’s market value below US$4 trillion for the first time since 2025 as global markets digested sudden leadership changes and broader economic data.
Here is the math: chief financial officer Colette Kress stepped in as interim chief executive while the board searches for a permanent replacement, and Harvey Jones became the company’s first board chair, BusinessDesk reported. At the same time, CoreWeave reported third-quarter revenue rising 168% year-on-year to US$3.66 billion, while Xero announced a A$1b share buyback alongside a strong first-half result.
Nvidia Value Falls While CoreWeave and Xero Post Growth
- Nvidia’s market value fell below US$4 trillion following Jensen Huang’s resignation, with interim CEO Colette Kress managing operations.
- CoreWeave posted US$3.66 billion in quarterly revenue, easing neocloud borrowing worries as 2027 capacity sold out.
- Xero reached 5.15 million subscribers in September 2026, delivering a 12% year-on-year increase alongside a A$1b share buyback.
Leadership Transition at Nvidia and Sector Impact
Following reports concerning Huang’s personal conduct—which included an association with a woman that US officials suspect of ties to Chinese intelligence—Nvidia’s board approved his resignation on Thursday, as reported by BusinessDesk. The shares fell 5.7% on the day, and artificial intelligence supply chain stocks in South Korea and Taiwan sold off alongside it.
NVIDIA stock falls for 2nd day as investors stare at uncertainty after Jensen Huang’s abrupt exit Read More: https://t.co/Ni2qc1AU7a pic.twitter.com/5YnZ6To6uH
Over on RNZ, Kōura Wealth managing director Rupert Carlyon said that at its peak Nvidia was worth $5 trillion, pointing out that Huang had been the biggest cheerleader of AI and had been giving a hell of a lot of money to push that forward.
“Now that Huang had lost his credibility there was a high chance the narrative would quickly change again particularly with the Democrats taking control of the US senate and congress,” Carlyon told Morning Report.
Shortly after news of Huang’s departure broke and US exchanges opened, Nvidia stock experienced a sharp drop exceeding 13%, though a subsequent recovery left it down roughly 4% by Friday morning in New Zealand, noted Carlyon.
“In terms of KiwiSaver what was happening at Nvidia was just part and parcel of being an investor,” Carlyon told RNZ, advising clients that at times like this it is easier to put the app away and recognize long-term investment horizons.
Rs 1,81,000 Crore Lost in 4 Days! How did Nvidia's Jensen Huang slip from world's 8th-richest to 13th? Read More: https://t.co/nuYgsVo2sL pic.twitter.com/nFUphUHHyb
| Company | Ticker | Key Metric | Reported Figure |
|---|---|---|---|
| Nvidia | NVDA | Market Capitalization | Below US$4 Trillion |
| Xero | XRO | Subscriber Count (Sept 2026) | 5.15 Million (Up 12% YoY) |
| Mainfreight | MFT | Half-Year Earnings | Exceeded Forecasts |
Neocloud Resilience and Financial Updates
CoreWeave’s third-quarter results helped ease worries that specialist firms renting GPU capacity were borrowing too heavily to build data centres, BusinessDesk reported. Management said that 2027 capacity is completely sold out, and a plan to fund growth with contract-linked loans and customer prepayments helped lift its shares almost 25% the next day.
Meanwhile, Xero delivered a strong first-half result for fiscal year 2027, upgrading guidance and announcing a A$1b share buyback that helped alleviate investor concerns regarding its acquired Melio business. Average revenue per user at Xero rose 25% year-on-year to $62, reflecting both price adjustments and the consolidation of Melio.
Elon Musk says a petition to reinstate Jensen Huang as $NVDA CEO is underway and that he plans to sign it. That comes as Nvidia employees are already pushing for Jensen’s return. pic.twitter.com/nOur0HR0sD
Mainfreight also delivered an impressive half-year result, comfortably exceeding analyst expectations for both revenue and earnings while providing an upbeat commentary for the second half of its financial year, BusinessDesk reported.
Rising US Inflation Prompts Potential Federal Reserve Rate Hikes
US consumer prices rose 0.4% in October and core prices increased 0.3%, both coming in above forecasts and prompting Federal Reserve officials to raise the prospect of a bigger move in monetary policy. Governor Waller indicated that a 0.5-percentage-point hike should be considered in December if core inflation stays elevated, while Chicago Fed president Goolsbee described the report as borderline disturbing.
Front-end Treasury yields rose more than 12 basis points over two sessions, pushing two-year yields closer to 5% as stocks and bonds fell together. The Federal Reserve is scheduled to meet next on December 8-9, just a day before November’s inflation figures are released to the market.
Disclaimer: The information provided in this article is for educational and informational purposes only and does not constitute financial advice.
