Live news: Strategy kicked out of MSCI indexes as Nvidia slump rattles markets

Nvidia turmoil hits AI stocks as Strategy is removed from MSCI index

The kangaroo market continues. After closing almost 3% higher on Wednesday, the Nasdaq 100 is set to surrender some of those gains, with futures down almost 1% ahead of Thursday’s open.

Nvidia NVDA is leading the reversal, falling around 7% in premarket trading as uncertainty grows over co-founder and CEO Jensen Huang’s future. The board held talks on Wednesday following reports of a relationship with a senior company executive. Those reports followed Huang’s admission of an affair with a woman whom U.S. officials suspect of being a Chinese intelligence asset. No decision on his future has been announced.

The selloff is spreading across AI infrastructure stocks. IREN IREN is down 5%, Cipher Digital CIFR has fallen 6%, and CoreWeave (CRWV) is off 7%, giving back part of Wednesday’s 25% surge.

Crypto markets face a separate headwind. MSCI has confirmed that Strategy MSTR, the largest corporate bitcoin holder, will be removed from its widely tracked global equity indexes after the close on Nov. 30. The decision creates potential selling pressure from funds tracking those benchmarks.

Strategy shares are down around 4% in premarket trading, while bitcoin has retreated to roughly $73,500.

Gold is also under pressure, falling more than 1.5% over the past 24 hours to trade firmly below $4,000 an ounce.