The U.S. is considering new restrictions on AI chip shipments to China, according to a report from the Wall Street Journal. Yahoo Finance spoke to experts, analysts, and strategists across the industry to determine the potential impact on chipmakers like Nvidia, as well as the market implications.
Matt Maley, Miller Tabak Managing Director and Equity Strategist, broke down the recent rally from AI stocks and chipmakers like Nvidia (NVDA) and AMD (AMD). Maley said, "It'll be interesting, not only this week, but moving to next week a lot of these institutions, they might start to pull back a little bit because of this concern."
Yahoo Finance's Ines Ferre also broke down the geopolitical pressures behind the report. Ferre said that according to Ted Mortonson, a Baird Technology Strategist, "It is turning into almost a geopolitical economic warfare issue."
Ferre explained, "When you are restricting the exportation of these chips, you are basically trying to restrict economic growth in one country, and you are also trying to restrict their military advancements."
Video highlights:
00:00:03 - Yahoo Finance's Brad Smith
00:00:25 - eToro USA Investment Analyst Callie Cox
00:00:46 - Miller Tabak Managing Director and Equity Strategist Matt Maley
00:01:01 - Federated Hermes Chief Equity Strategist Phil Orlando
00:01:20 - Yahoo Finance's Ines Ferre
