Nvidia shares were under pressure Thursday as President Donald Trump's deadline to raise tariffs on hundreds of billions of dollars worth of Chinese goods draws near.
shares were getting whacked Thursday morning, down 4.5% near $166 apiece, as the deadline for Presdient Donald Trump's tariff increase draws near.
At 12:01 a.m. ET on Friday, tariffs on $200 billion worth of Chinese goods will increase from 10% to 25%, and a fresh 25% tariff will be placed another $325 billion worth of Chinese goods. This would be particularly bad news for Nvidia, and the rest of the semiconductor industry, as it is"China is an important market and it's an important gaming market," said Nvidia President and CEO Jensen Huang on the company's quarterly earnings call.
Chipmakers were under severe pressure in late 2018 amid worries the trade war would drag on without a resolution, but rebounded sharply as it appeared the US and China were making progress toward a deal. However, this week's escalation has the sector once again under pressure, with Nvidia shares slumping more than 9% while rivals AMD and Intel have shed 7% and 10%, respectively."A major concern here, the products would be deemed mission-critical and the US would prevent shipments to China, or tax them heavily ," RBC analyst Mitch Steves said in a note out on Monday.
"We think China trade talks will negatively impact our universe. Most notably, we think GPUs and Semi-cap are most at risk to the downside if tensions continue to rise."
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Firefighter Union Leader Responds After President Trump Lashes Out Over Joe Biden EndorsementFirefighter union leader responds after President Trump lashes out over Joe Biden endorsement
Read more »
Federal Reserve fends off efforts to be politicized by President Trump... for nowFed Chair Jerome Powell has made clear the central bank will not bend to the will of President Donald Trump, and so far it's winning.
Read more »
Analysis | After the Barr hearing, President Trump singles out Sen. Kamala HarrisAfter Democrats grilled Attorney General William Barr, Trump has the toughest words for the presidential candidate from California.
Read more »
While you were watching Barr, President Donald Trump asked courts to end ObamacareObamacare should be rendered unconstitutional because Congress ended the tax penalty for not having health insurance in 2017, the Trump administration said in its brief to an appeals court.
Read more »
President Donald Trump nominates Kelly Knight Craft as UN ambassadorPresident Donald Trump has formally named Kelly Knight Craft as Nikki Haley's replacement as U.N. ambassador. She must be confirmed by the Senate.
Read more »
Taiwanese president-hopeful Terry Gou meets TrumpTaiwanese businessman and presidential hopeful Terry Gou has met with US businessman and current President Donald Trump, and received this advice: Being president is a tough job.
Read more »
Eric Trump calls Democrats 'deranged' after George Conway nicknames president #DerangedDonaldDonald Trump is 'going to win this thing in 2020 because they are incredibly deranged,” Eric Trump said of Democrats.
Read more »