Nvidia shares were initially up after an earnings report that included raised revenue guidance for the next quarter. But shares closed 3% lower.

Remember, Nvidia now accounts for about 7.4% of the S&P 500. Options data implies a 7% move for the stock this afternoon, which would be a roughly $320 billion swing in market cap. Whether the stock rises or falls on earnings results, the entire index will rattle.

Nvidia’s earnings call on Wednesday is like “the Super Bowl for not just tech investors, but investors around the world,” said Dan Ives, global head of tech research at Wedbush Securities, a wealth management, brokerage and advisory firm. “There’s fears of a bubble; we believe those are not warranted."

S tocks closed significantly lower on Thursday, erasing a rally early in the day driven by blockbuster earnings from chip giant Nvidia and a stronger-than-expected jobs report. The Dow Jones Industrial Average closed down about 380 points, or 0.8%, while the S&P 500 dropped 1.5%. The tech-heavy Nasdaq fell 2.1%.

Nvidia reported quarterly results that handily topped Wall Street expectations, sending the stock sharply higher in after-hours trading.

Nvidia’s earnings report crushed analysts’ forecasts and tamped down on the market’s fears of an AI bubble bursting.

One confident message coming out of Nvidia earnings: "AI spending isn’t just holding up, it's accelerating," wrote Jake Behan, the head of capital markets at Direxion. That upbeat tone from Nvidia "could flip this tech rotation on its head,

Options traders are along for the ride. At last check, 2.06 million calls and 1.18 million puts have exchanged hands, double the overall volume that is typically seen at this point. The November 200- and 195-strike calls are the most active contracts, respectively, with new positions being opened at both.