NVIDIA Hits Record Intraday High as Bullish Bets Around the CES Soar

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If NVIDIA wanted to capture the attention of investors via a mysterious announcement, it has certainly succeded. The high-flying stock is currently at record intraday highs, and call volumes targeting the $500 strike price remain in vogue.

As per an analysis by Menthor Q that went live earlier in the morning, the call volume on NVIDIA share options specifically targeting the $500 strike price remains quite elevated. Interestingly, these elevated volumes are manifesting in both the weekly as well as the monthly options.

Then, just moments ago, NVIDIA shares extended their rally to hit a new intraday high on the back of a few key developments.

First, as we’ve already noted in a dedicated post, NVIDIA is widely expected to unveil the GeForce RTX 40 SUPER GPUs at a “Special Address” before the CES 2024 officially kicks off tomorrow. NVIDIA could also unveil the SUPER variants of its RTX 4070 and RTX 4080 GPUs. Should the GPU giant price these SUPER cards competitively vs. AMD’s RDNA graphic card, it could nip AMD’s perceived advantage in the bud.

Also, Reuters is reporting today that NVIDIA could launch its China-focused AI chip in the second quarter of 2024, thereby mitigating the damage from the expanded US export controls that seek to curtail China’s potential lead in the AI sphere by leveraging the IP of the United States. Do note that these export controls prevent NVIDIA from selling its advanced A100 and H100 GPUs to China. Back in November 2022, NVIDIA introduced its pared-down A800 and H800 GPUs to circumvent these export restrictions on China. However, these chips were also axed by the US shortly thereafter.

Of course, some Chinese companies remain hesitant to purchase NVIDIA’s latest China-focused H20 offering, fearing that these chips might also land under the United States’ expanding export controls. Baidu has already ordered certain AI chips from Huawei, which perfectly illustrates this emerging paradigm.

A few days back, we reported that NVIDIA is also working on a China-focused variant of the 4090 GPU, officially known as the RTX 4090 D, which will come in a cut-down design but offer faster performance than the GeForce RTX 4080 SUPER.

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