TheDrop Market Analysis, 11/12/25
- Alexangel Ventura
- 2 hours ago
- 2 min read
Markets continued to rise slightly as investors react to the last days of the ongoing government shutdown.
The S&P 500 index rose by a mere 0.06%, while the Dow Jones Industrial Average rose 0.6%. Meanwhile, the two opposing indexes, the Nasdaq Composite and the Russell 2000, both sank by nearly 0.3% each. The USD rebounded in value while gold, silver, and cryptocurrencies like Bitcoin and XRP made significant corrective efforts, contributing to their respective depreciations in value during the day. This could have been attributed to the gradual selling of crypto reserves, which hasn't diminished sentiment entirely, but rather hurt optimism into conservative expectation.
"At one point the risk manager may step in and say, 'you need to eliminate or lighten your position'," said 10X Research CEO Markus Thielen. "There’s a risk that Bitcoin is going to continue to underperform because people need to rebalance their portfolios. You probably need to buy more Nvidia for when you send out your statement to investors." Indeed, investors have noted crypto's mere 10% rise on average this year, behind that of gold and other alternative assets.
Stocks rose marginally as investors came into markets with hope, as the House of Representatives officially advanced the spending bill first proposed by the Senate to end the ongoing shutdown. This ensures much-needed SNAP funding, along with finally paying thousands of federal employees, who could now participate in the economy with disposable income.
AMD stock surged 9% as the AI innovator has grown its earnings forecasts, with investors buying in, especially ones who've retreated from Nvidia as a result of SoftBank's selling of its entire stake in the chipmaker. In fact, more investors have believed that AMD may stand a challenge to Nvidia's AI hardware monopoly.
This has had quite an adverse effect on most Magnificent Seven stocks, which largely fell as a result of the temporary AI selloff from SoftBank's profound decisions. But quite ironically, Nvidia stock rose slightly as investors bought the dip; its stock has fallen significantly in recent days as fallout from SoftBank.
