Nvidia Stock Falls Again as China Announces New Tariffs
Nvidia Takes Another Hit After Market Selloff
Nvidia’s stock was poised for another drop on Friday after tumbling sharply the day before. The decline followed former President Donald Trump’s announcement of new tariffs, which rattled the market.
Shares of Nvidia (NVDA) were down 3.6% in premarket trading at $98.19, giving up earlier gains after China announced plans to impose an additional 34% tax on all U.S. goods starting April 10.
On Thursday, Nvidia’s stock plunged 7.8%, hitting its lowest point since last summer, when concerns arose over potential delays in its Blackwell hardware rollout. Despite the selloff, some investors saw an opportunity—J.P. Morgan reported that retail traders poured $913 million into Nvidia shares on Thursday, betting on a rebound.
“Even in a sea of red, retail investors remained confident and bought the dip at a historic pace,” J.P. Morgan analysts noted.
Chip Tariffs Still in Question
Although semiconductors were initially left out of the tariff list, the situation remains fluid. A senior administration official stated that industries such as semiconductors, pharmaceuticals, and lumber would be addressed separately, leaving open the possibility of future restrictions.
Truist analyst William Stein believes Nvidia is somewhat insulated from potential tariff effects due to its dominant position in AI infrastructure.
“Their AI customers appear to be in a race to develop artificial general intelligence (AGI) at almost any cost,” Stein said.
Chip Stocks Under Pressure
Other semiconductor stocks also felt the pressure. Advanced Micro Devices (AMD) was down 5.8%, while Broadcom (AVGO) saw a 6% decline in premarket trading.
As the situation unfolds, investors will be watching closely to see whether Nvidia and its peers can weather the storm.
