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Nvidia Shares Hit ATH, Punishing Short Sellers; AMD, Broadcom, Marvell See Higher Short Volume

$NVIDIA(NVDA)$   attracted the heaviest trading in borrowed shares that were sold short among the semiconductor stocks Wednesday, before the market leader climbed to a new intraday all-time high.  

Short volume jumped 6.23 million shares to 15.3 million Wednesday, from a day earlier. $Advanced Micro Devices(AMD)$  's short volume rose by 3.47 million shares. $Broadcom(AVGO)$  , $Marvell Technology(MRVL)$   and $Navitas Semiconductor (NVTS.US)$ also saw heavier short trading.

Nvidia, which is the dominant supplier of chips that power artificial intelligence, saw its shares climbed to a new intraday all-time high of $195.30 Thursday morning, after Bloomberg reported that the U.S. government approved billions of dollars worth of the company's chip exports to the United Arab Emirates.

The continued rally has added pressure on short sellers who have been betting on a reversal of the uptrend that sent the stock climbing more than 40% this year, taking its market capital to $4.65 trillion, the biggest in the world.

The short interest, or the tally of Nvidia shares that were sold short and haven't been closed stood at 217.5 million as of mid-September, the latest data available. That's up from 196.7 million shares two weeks earlier. 

Semiconductor stocks have recently seen elevated volatility amid concerns that a bubble could be developing in the market. Nvidia has been criticized for investing in startups that end up buying the company's graphics processing units in what has been described as circular deals that end up adding to the chipmaker's revenue. 

Those concerns dissipated as Nvidia CEO Jensen Huang delivered a strong argument for the investments, stressing the massive potential for AI to drive growth in an interview with CNBC Wednesday.

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