U.S. Stock Markets Stumble: NVIDIA Drops 2.6% Amid China Chip Sales Concerns
On Monday, U.S. stock markets ended a three-week winning streak, closing lower due to ongoing concerns about the U.S.-China trade war and its impact on major technology stocks. The Dow Jones Industrial Average fell by 0.5% or 240.59 points, closing at 44,401.93, while the tech-centric Nasdaq Composite declined by 0.6% to 19,736.69.
NVIDIA Corporation, a major player in the artificial intelligence boom, was among the hardest hit, with shares plummeting by 2.6%. The company is facing renewed pressure amid ongoing uncertainty about AI chip sales restrictions to China. Investors are carefully weighing the potential impact of expanded export restrictions on advanced AI chips to rival nations.
Adding fuel to the fire, Comcast Corp. announced that it expects broadband subscribers to decline by over 100,000 in the fourth quarter of 2024, a figure significantly worse than the consensus estimate of a 63,000 decline. This disappointing guidance sent Comcast shares tumbling by 9.5%.
Despite the market volatility, analysts remain optimistic about a potential Federal Reserve interest rate cut in December.
Source: Yahoo Finance