AMD's Potential: The 6% jump in AMD stock is a solid reaction to the positive regulatory development, but the real test will be the continued geopolitical dynamics and whether they can hold onto this momentum. AMD has been making strides, but Nvidia's dominance in the AI space is hard to match. Still, AMD has a strong position in the data center and gaming industries, so there’s room for growth.

Broadcom's Position: Broadcom is stepping up with the Tomahawk Ultra chip, and this is a solid move to diversify away from Nvidia's grip. While Nvidia is undeniably strong in the AI market, Broadcom has a history of innovation and strong partnerships. If Broadcom can successfully carve out a niche in AI, it could see significant upside.

Chip Stock Rally: The rally is primarily driven by AI optimism, but it's important to remain cautious. Not all chip companies will benefit equally, and there’s likely to be a shake-out in the coming months. If you missed Nvidia, you could look at AMD for potential growth, but don’t overlook companies like Qualcomm and Micron, which also have exposure to AI, cloud computing, and data centers.

Which Stock to Pick (If You Missed Nvidia)?

If you missed Nvidia, I’d recommend AMD or Broadcom. AMD has been making significant strides in AI, and Broadcom, with its diversified portfolio, is positioning itself well to take on Nvidia in some sectors. For long-term growth, it could also be worth considering Intel, which is attempting to reclaim its market share in chips for AI and data centers, but it’s more of a long-term play.

AI, Auto, and Chips in China - Which Sector to Lean On?

For AI, Baidu or Tencent in China might be interesting plays, given their push into AI and cloud computing. For autos, BYD is leading the charge in electric vehicles and autonomous driving technology, and is already seeing strong growth. In chips, SMIC (Semiconductor Manufacturing International Corporation) could be a potential pick in China’s domestic chip sector, but it’s a riskier play given the geopolitical landscape. Nvidia and AMD also have a lot of exposure in the Chinese market despite regulatory concerns.

What are your thoughts on the broader chip sector’s growth potential? Do you lean more towards AI, or do you see a bigger opportunity in EVs or other sectors?