U.S.-based chipmaker Nvidia will replace another semiconductor manufacturer, Intel, on the Dow Jones industrial average stock market index, S&P Dow Jones Indices announced late Friday.
The change in the blue-chip index, which includes 30 prominent American companies, will take place before the Nov. 8 market opening.
"This procedure prevents any distortion in the indices' reflection of the portion of the U.S. stock market it is designed to measure," S&P Dow Jones Indices said in a statement.
While Nvidia shares soared more than 170% with booming demand for artificial intelligence, Intel's stock price plummeted over 50% since the beginning of 2024.
Nvidia's market value stood at $3.32 trillion as of Friday, while Intel's market cap was just below $99 billion.
