So the long wait is over and NVDA reported a killer quarter. But there’s a real problem here: the last few weeks have been brutal for just about every stock not run by Jensen Huang.

The glory of NVDA hasn’t been contagious. Money actually flowed OUT of the rest of the market . . . especially other AI-oriented companies. And in my view, that reflects a substantial misunderstanding of what the AI boom is actually about.

NVDA is not an AI platform. It doesn’t support consumer or enterprise applications. It relies on its customers to do that . . . and as those customers multiply and thrive, they buy more chips from Jensen Huang.

We know they’re buying those chips because NVDA sales went through the roof last quarter. But Wall Street took the view that this was a winner-take-all story and wrote off everyone else in Silicon Valley as losers.

That’s not how this goes. NVDA makes money when its customers make money. They’re on the verge of great things.

And it isn’t just Silicon Valley. Almost every sector lost ground in the last two weeks of waiting for NVDA and then dealing with the fallout. Consumer stocks, the financials, energy, real estate, the industrials, materials producers . . . just about everything.

NVDA jumped 19% in the same period. But the $400 billion in market capitalization it gained weren’t enough to balance the money lost elsewhere. The rest of the market will recover. But for that to happen, some of that money needs to flow back out of NVDA first.

For now, it’s a market and then it’s another market composed of only one stock. They trade in opposition. Play it accordingly.