Wall Street’s latest surge hasn’t just been a rally — it’s been a reckoning. Over $250 billion has gone up in smoke for short sellers since April 8, and two names led the charge: Nvidia and Tesla.
While skeptics were betting against the market, tech giants and retail darlings powered ahead — proving once again that betting against American innovation might be the most expensive mistake in finance.
Nvidia and Tesla: The Stocks You Love to Hate (and Regret)
Together, Nvidia (NVDA) and Tesla (TSLA) accounted for more than $19 billion in short-seller losses. Nvidia is riding high on the unstoppable AI wave, and with easing trade restrictions, it’s charging into its May 28 earnings report with serious momentum.
Tesla? It’s back with a vengeance. Elon Musk has turned his full attention back to the EV juggernaut after dabbling in his quirky “Department of Government Efficiency” (yes, really). The result? A rocket-fueled rebound that burned bearish bets to ash.
Retail Stocks Are the New Power Players
You might not expect companies like Palantir (PLTR), Hims & Hers (HIMS), or MicroStrategy (MSTR) to move markets, but they’ve done just that — and then some. Together, they’ve sparked more than $7 billion in short-seller losses.
-
Palantir surged over 55% since early April, feeding off AI buzz and national security contracts.
-
Hims & Hers doubled, as investors finally woke up to the booming direct-to-consumer healthcare model.
-
MicroStrategy, tethered to Bitcoin’s bounce, exploded 68% higher.
Forget “meme stocks” — this is smart money chasing smart tech.
A Rally Fueled by Tariff Relief… and Panic
This rally wasn’t built on fluff. It kicked off after a major policy shift — a 90-day pause on tariffs, announced April 9 — that sparked the S&P 500’s best day since the 2008 financial crisis. Add in cooler inflation and better-than-expected earnings, and you’ve got the recipe for a breakout.
But let’s be honest — the panic among shorts also threw gas on the fire. Many hedge funds were positioned for a downturn, expecting tightening, tariffs, and turbulence. What they got was relief, optimism, and rocket fuel.
Is the Smart Money Actually… Dumb?
Here’s the twist: The so-called “smart money” might have been the most wrong-footed of all. Many institutions went bearish at exactly the wrong time — and now they’re scrambling to unwind positions, driving prices even higher.
“It’s less about fundamentals and more about being caught offside,” said BNP Paribas strategist Viktor Hjort. “The market ran ahead without a major catalyst — and that’s what makes it dangerous… and exciting.”
Translation: bulls have control, and bears are stuck in the rearview mirror.
What’s Next? Data, Momentum, and the Threat of Missing Out
With the market now within 3% of all-time highs, investors face a tricky question: Is this the start of the next bull market — or just a massive short squeeze?
One thing’s clear: the momentum is real. Innovation is winning. And in a market this hot, sitting on the sidelines might be the riskiest move of all.
Bottom Line: While short sellers nursed record losses, the market rewarded those who stayed bold. With AI, EVs, healthcare, and crypto leading the charge — and policy shifts turning bearish forecasts upside down — the rally feels less like a bounce… and more like a breakout. Ignore it at your own peril.
Sponsored by $EDXC – Endexx Corporation https://endexx.com/
