Nvidia, AMD Hit Hard by U.S. Chip Export Curbs

Global semiconductor stocks, particularly Nvidia and AMD, dropped sharply after the U.S. imposed new export restrictions on advanced AI chips to China. Nvidia reported a $5.5 billion charge due to the curbs, while AMD warned of an $800 million impact. The restrictions, designed to limit China's military and AI advancements, have heightened investor fears, with 80% of fund managers now concerned about a trade war-induced global recession. Broader sell-offs hit technology sectors in Asia, though Indian markets rebounded due to strong domestic growth and supply chain shifts away from China. U.S. political consensus for tougher chip export controls is growing, adding to market uncertainty. These developments highlight how geopolitical tensions are reshaping the global AI and semiconductor landscape.