# Spectrum X

Nvidia’s GTC Rebases Expectations — China’s Stock Rotation Collapses as AI Hardware Hype Recedes

Nvidia’s GTC announcements—new liquid‑cooled systems, optical switches and a $1 trillion demand projection—sparked a reassessment of AI hardware expectations. Chinese equity markets reacted with a broad sell‑off in recently hot rotation sectors, amplified by quant trading and profit taking, while defensive sectors gained.