Star Sp500 Driver _hot_ (Safe)

The star driver of the S&P 500 is no longer a sector, a trend, or a "Magnificent" cohort. It is one company:

How did the market become a one-truck pony? star sp500 driver

Here lies the dangerous elegance of the situation. As Nvidia’s stock rises, index funds and ETFs are forced to buy more Nvidia to maintain their weightings. Those purchases drive the price higher, which increases Nvidia’s weight in the S&P 500, which forces more buying. It is a self-licking ice cream cone of capital flows. The star driver of the S&P 500 is