Nvidia(US:NVDA) Benzinga·2025-09-10 15:29Core Viewpoint - There is a significant shift in investment from technology stocks, particularly Nvidia, to gold and other commodities, indicating a "historic migration of capital" towards undervalued assets amid economic uncertainties [4]. Group 1: Market Performance - Gold miners, represented by the VanEck Gold Miners ETF (GDX), have surged by 93%, while silver miners, tracked by the Global X Silver Miners ETF (SIL), increased by 90% [3]. - In contrast, Nvidia's stock, part of the Magnificent Seven, has only risen by 14%, highlighting a stark divergence in performance between tech and commodity sectors [3]. Group 2: Economic Factors - Factors such as persistent inflation, anticipated Federal Reserve rate cuts favoring hard assets, and geopolitical tensions are driving gold prices towards $4,000 per ounce, benefiting miners [4]. - The current market environment suggests a preference for hard assets over financial assets, as indicated by McDonald's commentary [6]. Group 3: Energy Infrastructure Concerns - Nvidia's growth is hindered by its reliance on an energy infrastructure that is "50 times smaller" than what is required for mega data centers, raising concerns about its sustainability [5]. - Uranium and nuclear stocks, despite being undervalued, are positioned as potential future energy solutions, contrasting with Nvidia's massive market cap [5]. Group 4: Investor Sentiment - The outflows from gold ETFs suggest that retail investors have not yet fully engaged in the gold market, indicating potential for further upside [6]. - The narrative around hard assets is gaining traction, with traders encouraged to consider commodities over tech stocks like Nvidia [6].