Nvidia co-founder Jensen Huang has resigned as chief executive officer and board member following revelations involving extramarital relationships, including one with an individual suspected by American intelligence officials of acting as an operative for China. The company's board of directors held an extensive meeting where members selected Chief Financial Officer Colette Kress to assume the role of interim chief executive while an executive search for a permanent successor is conducted. Tech entrepreneur Harvey Jones was simultaneously appointed to serve as chairman of the board.
The leadership shakeup sent shockwaves through semiconductor markets, initially prompting a sharp decline in Nvidia's valuation before buyers stepped in to pare intraday losses. Beyond governance concerns, the controversy has triggered intense scrutiny from Washington lawmakers regarding potential unauthorized leaks of advanced graphics processors to Chinese entities through third-party intermediaries such as Megaspeed. Congressional committees have summoned key figures, setting up formal hearings to examine trade controls and corporate oversight.
Wholesale prices in the United States advanced 0.3% month-over-month in October, pushing the annual producer price index increase to 6.5%, its fastest rate of expansion since late 2022. The hotter-than-anticipated inflation reading rattled debt markets, propelling the benchmark 10-year Treasury yield up to 5.16%, which matches its highest mark since October. Major equity indexes reacted with choppy trading, as technology shares shouldered losses alongside broader weakness in interest-rate-sensitive assets.
Federal Reserve officials indicated that elevated inflation prints undermine progress toward the central bank's target. Chicago Fed President Austan Goolsbee warned that policymakers still have substantial work ahead to regain price stability, noting that intense capital spending on artificial intelligence data centers is generating demand overheating. The persistent price data has reinforced market expectations that monetary authorities could maintain restrictive policy stances or consider additional rate hikes.
The Canadian federal government has issued a formal notice of default to automaker Stellantis over its agreement to offload an idled vehicle assembly facility in Brampton, Ontario. Industry Minister Mélanie Joly announced that the manufacturer has 30 days to resolve contractual compliance issues or confront a federal lawsuit. Government officials contend that selling the plant to armored vehicle builder Roshel breaches previous funding covenants tied to domestic production and employment commitments.
The confrontation highlights expanding cross-border tensions between North American trading partners as automotive manufacturers alter supply chains to align with United States tariff directives. Canadian Prime Minister Mark Carney characterized the factory transaction as a betrayal of local assembly personnel. Officials emphasized that Stellantis remains liable for hundreds of millions of dollars in state subsidies if production shifts permanently across the southern border.