Latest news with #PHLXSemiconductorIndex
Yahoo
10 hours ago
- Business
- Yahoo
Nvidia, Other Chip Stocks Slide Amid Worries About US-China Trade Tensions
Nvidia (NVDA) and other semiconductor stocks slid Friday amid worries about worsening U.S.-China trade tensions. Shares of Nvidia were down nearly 4% in recent trading. Advanced Micro Devices (AMD), Broadcom (AVGO), Micron Technology (MU), and Applied Materials (AMAT) also lost ground, with the PHLX Semiconductor Index (SOX) dropping about 3%. Some of Nvidia's partners, including server maker Super Micro Computer (SMCI), saw their stocks fall as well. (Read Investopedia's full coverage of today's trading here.) President Trump on Friday said China has "totally violated its agreement with us," dampening hopes the countries would soon come to a longer-term agreement after reaching a temporary truce earlier this month. Separately, Bloomberg reported Friday that Trump plans to expand U.S. companies' licensing requirements to make deals with Chinese companies that have ties to sanctioned firms. The development comes after the Trump administration moved earlier this month to rescind the Biden-era AI diffusion rule that would have further curbed sales of American AI hardware to a broader group of countries, but warned it's looking to replace the rule with new restrictions. Analysts at Citi and Deutsche Bank warned at the time that they could turn out to be stricter than Biden's. During Nvidia's earnings call on Wednesday, CEO Jensen Huang said it's "terrific" that Trump rescinded the Biden-era rule, but criticized the administration's other moves to limit its sales to China, saying that "shielding Chinese chipmakers from U.S. competition only strengthens them abroad and weakens America's position." The AI chipmaker took a $4.5 billion charge in its fiscal first quarter associated with new export curbs on the company's H20 chips to China, and said it expects to take an $8 billion hit in the current quarter due to lost revenue. Read the original article on Investopedia
Yahoo
2 days ago
- Business
- Yahoo
These Stocks Could Post Big Moves After Nvidia Earnings
Nvidia is scheduled to report quarterly results after the bell on Wednesday, in what could be a major test of the AI trade's resilience. Nvidia earnings are a blockbuster, market-moving event for Wall Street. Investors parse the results for any sign that AI demand or investment is waning, making the report a catalyst for AI infrastructure stocks. Most of these AI stocks are currently trading at or above their price heading into Nvidia's last earnings report at the end of February. Those results weighed heavily on the majority of AI beneficiaries. Shares of server maker Super Micro Computer (SMCI) and nuclear energy provider Vistra (VST) outpaced Nvidia's (NVDA) 8.5% decline the day after its last report, tumbling 16% and 12%, respectively. Constellation Energy (CEG), also a nuclear power provider, slumped about 7.5%. Nvidia's position as the world's largest semiconductor company has made it something of a bellwether for the entire industry. The PHLX Semiconductor Index (SOX) tumbled more than 6% after Nvidia's last report, its biggest decline since January's DeepSeek panic caused the index to nosedive. Major Nvidia competitors Broadcom (AVGO) and Advanced Micro Devices (AMD) tumbled 7% and 5%, respectively. Chip fabrication services provider Lam Research (LRCX) and memory chip maker Micron (MU) also closed sharply lower. The companies that supply data centers with essential networking equipment also tend to move on AI demand signals parsed from Nvidia's earnings. Shares of Arista Networks (ANET) slid 5% following Nvidia's February report, while fiber optic technology provider Corning (GLW) shed 2% and network provider Lumen Technologies (LUMN) dropped 4%. Granted, stocks within the AI ecosystem don't always move in tandem. Nvidia shares soared more than 9% on its earnings report one year ago, but the boost its results lent to other AI infrastructure stocks fizzled out before the day's end. Supermicro shares rose as much as 11% that day before sliding to close 3% lower. Read the original article on Investopedia
Yahoo
13-05-2025
- Business
- Yahoo
Nvidia Leads Chips Stocks Higher on Optimism About New Partnerships, Trade Deals
Shares of Nvidia (NVDA) and other semiconductor stocks surged Tuesday amid optimism about new partnerships and trade deals. Nvidia's stock jumped over 6% in recent trading, and Advanced Micro Devices (AMD) shares were up 4% after the companies said they would supply semiconductors to Saudi Arabian AI startup Humain, as part of initiatives announced as President Trump kicked off a four-day trip to the Middle East, starting in Saudi Arabia. As part of Nvidia's partnership with Humain, which CEO Jensen Huang reportedly announced on stage at an event in Riyadh, the company said it will deploy "several hundred thousand" of Nvidia's most advanced GPUs over the next five years, starting with an 18,000 GB300 Grace Blackwell AI supercomputer with Nvidia's InfiniBand networking technology. Meanwhile, AMD said it and Humain would invest up to $10 billion over the next five years to build out AI computing centers "stretching from the Kingdom of Saudi Arabia to the United States." The announcements come as President Trump reportedly looks to secure $1 trillion in investment and trade pledges from Saudi Arabia, with plans to visit Qatar and the United Arab Emirates as well during his trip. The White House didn't immediately respond to an Investopedia request for comment on the chip partnerships. Shares of Broadcom (AVGO), Micron Technology (MU), and other chip stocks were also higher in recent trading, driving the PHLX Semiconductor Index (SOX) up about 3%, extended Monday's gains after the U.S. and China agreed to lower tariffs on each other's imports for 90 days. Follow Investopedia's coverage of today's live markets news here. Read the original article on Investopedia
Yahoo
23-04-2025
- Business
- Yahoo
Nvidia, Other Chip Stocks Rally as Trump Says China Tariffs Will Come Down
Semiconductor stocks jumped Wednesday, a day after President Trump reportedly said tariffs on China "will come down substantially." Shares of Nvidia, Broadcom, AMD, and Intel all traded higher. Semiconductors are presently exempt from the Trump's "reciprocal" tariffs, but analysts have said they expected import taxes targeting the sector to stocks including Nvidia (NVDA) and Broadcom (AVGO) rose sharply Wednesday, a day after President Donald Trump reportedly said the administration's tariffs on China "will come down substantially." Shares of Nvidia jumped more than 5% in recent trading, Broadcom added 6%, and Advanced Micro Devices (AMD) gained 7%. Intel (INTC) shares surged 7% as investors also digested a report that the chipmaker is planning to cut more than 20% of its staff. The PHLX Semiconductor Index, which tracks the 30 largest U.S.-listed semiconductor sector, was up about 5.5%. The rally comes after Trump said late Tuesday he intends to be "very nice" to China in trade negotiations. Semiconductors are presently exempt from the administration's "reciprocal" tariffs, but the administration previously suggested it planned to impose steep import taxes targeting the sector. Read the original article on Investopedia Sign in to access your portfolio
Yahoo
16-04-2025
- Business
- Yahoo
Nvidia, AMD, and Other Chip Stocks Fall as Trump Curbs Exports to China
Semiconductor stocks sank Wednesday after Nvidia and AMD warned they would take a hit after the Trump administration moved to curb the chipmakers' exports to China. Nvidia's H20, AMD's MI308, and other chip "equivalents" will reportedly require an export license in order to be sold to Chinese firms. Nvidia is expected to report its latest financial results on May stocks sank Wednesday after Nvidia (NVDA) and Advanced Micro Devices (AMD) warned they would take a hit after the Trump administration moved to curb the chipmakers' exports to China. Nvidia and AMD shares tumbled over 6% in early trading, and Broadcom (AVGO) shed close to 4%. Other chip stocks were also lower, dragging the PHLX Semiconductor Index (SOX) down 4%. (Read Investopedia's live coverage of today's market action here.) Nvidia said Tuesday it expects to take a $5.5 billion charge in its fiscal 2026 first-quarter results after the Trump administration limited exports of its artificial intelligence chips to China. The chipmaker said it was informed on April 9 that it required an export license "for the indefinite future" to sell its H20 chips to China. The license is meant to reduce the risk that the H20, which is less powerful than Nvidia's latest chips and had been tailored to meet U.S. export restrictions, ends up in a Chinese supercomputer. Nvidia is expected to report its latest financial results on May 28. AMD said it expects to face charges of up to $800 million related to the export of its MI308 chip. The new license requirement will also apply to other chip "equivalents," a spokesman for the U.S. Commerce Department said, according to reports. Read the original article on Investopedia Sign in to access your portfolio
