U.S. stocks in freefall, NVIDIA down 8.49% as U.S. hits China with AI chip restrictions

American actions see major losses, technological actions behave the worst because Nvidia risks loss of income of $ 5.5 billion due to export restrictions on China.

After the relatively low volatility of this week, American actions emerge again. This time, technological actions and Nvidia led the decline. On Wednesday, April 16, the NASDAQ was negotiated at 16,216.68, losing 606.49 points or 3.61%.

However, the rest of the market has also suffered because investors became downsides due to the fears of a trade war. Dow Jones fell 613 points or 1.55%, trading at 39,742.32. At the same time, the S&P 500 was down 125.78 points or 2.33%.

The recent Bank of America survey suggests that recession fears increase, with a net 42% of investors expecting a global recession. These include the highest fourth level that this figure was in 20 years.

Investors also seek to reduce their exposure to the US dollar, almost 61% saying that the USD would fall over the next 12 months. At the same time, workers from Safe Haven and Gold are increasing.

The fall in the stock market also had an impact on Bitcoin (BTC)Who reached a daily hollow of $ 83,100 before stabilizing $ 84,233. Despite its higher volatility, Bitcoin remained relatively resilient compared to the American market.

NVIDIA leads the market decrease market

Nvidia led the drop, down 8.49% to $ 102, after estimating a major income loss. Namely, the company has planned that new Washington restrictions on IA flea exports to China would cost it a total of $ 5.5 billion in the loss of income expected for the first quarter of 2025.

According to the company, the US government has informed that it would need an export license to sell its H20 chips to China. These advanced AI chips are used to form AI models such as the OpenAi Chatppt. Washington is concerned with the potential of China to use these chips to form its own AI models, such as those of In depth.

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