By Eva Roytburg
Publication Date: 2025-11-20 18:53:00
The stock market’s early rally fizzled by the afternoon, with the S&P 500 swinging from a nearly 2% gain to a slight selloff by midday. Nvidia, which initially jumped after reporting strong earnings, reversed 1% into the red along with the rest of the megacap AI trade.
The broader market mood wasn’t helped by mixed economic data and uncertainty around the Federal Reserve’s next move, especially after a cancelled jobs report and signs of uneven labor-market conditions. And then, there’s Ray Dalio.
The billionaire founder of Bridgewater Associates warned in a CNBC interview Thursday that investors are misreading the underlying mechanics of today’s rally, even as AI giants like Nvidia insist the boom is nowhere near finished.
“There is definitely a bubble in markets,” Dalio said, adding that while the situation doesn’t perfectly match 1929 or 1999, the indicators he tracks show the U.S. is closing in fast.
“The picture is pretty clear,” he said. “But we don’t have the pricking of the bubble yet.” And, crucially: “A lot can go up before the bubble bursts.”
Dalio’s comments landed just as Nvidia reported one of the most astonishing quarters in corporate history. The chipmaker announced a staggering $57 billion in revenue in the third quarter, up 22% from the prior quarter and 62% from a year earlier, and reaffirmed it has roughly $500 billion in AI-chip demand already lined up for the rest of 2025 and 2026. Data center revenue alone hit $51.2…
