Storage stocks rebound, outperforming the US "Magnificent Seven" by nearly 6 percentage points, as Nvidia sees massive position increases.

November 11 — Calculated from the closing prices after the sharp drop on November 5 (US Eastern Time) through the close on November 10, the four memory stocks Micron, Western Digital, Seagate, and SanDisk rebounded by an average of 8.17%; over the same period, the Magnificent Seven averaged a gain of 2.29% (for comparison, the Magnificent Seven portfolio ETF MAGS rose 2.54% over the same period). Memory stocks as a whole outperformed the Magnificent Seven by about 5.88 percentage points.

Among individual stock performances, Micron led the memory sector with a gain of 10.47% (Western Digital rose 8.06%, Seagate rose 7.52%, SanDisk rose 6.64%). Among the Magnificent Seven, only Tesla (up 10.50%) came close to Micron's performance; the other six all underperformed these four memory stocks, with Meta up 6.00% and Nvidia bucking the trend with a sharp drop of 7.00%.

The memory stocks' lead was mainly attributable to the surge on November 9 (the four memory stocks rose by an average of 8.02%, while the Magnificent Seven averaged only 2.24%). Subsequently, on November 10, both groups pulled back (memory stocks fell 1.30%, Magnificent Seven fell 0.95%).

Using the closing prices on November 4, before the sharp drop, as the baseline, the four memory stocks are still down an average of 11.64%, while the Magnificent Seven are down 2.61%. Despite the fierce short-term rebound, the memory sector has not yet recovered its previous losses.

However, according to TradingBeats monitoring, from the US market open on November 9 to the time of publication, Micron, SanDisk, and SK Hynix Korean stock contracts rose approximately 6.4%, 3.6%, and 8.6% respectively, but the combined notional OI of the three contracts fell from about $653 million to $618 million, shrinking by about $34.6 million against the trend.

Among the Magnificent Seven, total combined notional OI increased by about $129 million, with almost all of the increase contributed by Nvidia (NVDA contract OI increased by about $150 million), while the other six combined decreased by about $21 million.