According to analysis by CNBC Pro, six stocks in the S&P 500 Index have been negatively correlated with Nvidia’s stock price movements over the past month. U.S.-listed stocks include Kraft Heinz, State Street, Walgreens Boots Alliance, MasterCard, health care distributor Henry Schein and auto parts retail Trader O’Reilly Automotive. Nvidia, meanwhile, is stuck in correction territory this week, meaning the company is down more than 10% from the closing high of $148.88 it reached last month. CNBC Pro screened stocks in the S&P 500 that have moved in the opposite direction of the U.S. chip giant over the past month. In the table below, a negative value of 1 in the relevant column means that as Nvidia stock rises or falls, the company’s stock price moves in the opposite direction. A correlation of 0 means there is no statistical connection between Nvidia stock and the company’s stock price. It should be noted that correlated returns do not indicate causation or predict future returns or price action patterns. These stocks are likely to move higher (as Nvidia falls) for entirely unique reasons. The calculation only measures the direction and magnitude of daily price movements. In the longer term, the total returns of the above-mentioned inversely correlated stocks will diverge. For example, Kraft Heinz shares have also fallen 0.6% in the past month, while Nvidia shares have also fallen during the same period. CNBC Pro’s analysis uses the Pearson correlation coefficient, the most common way to measure the linear correlation between two variables or stock prices.
NVIDIA falls into retracement territory, these 6 stocks rise | Real Time Headlines
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