Bloomberg Daybreak: US Edition Nvidia Slides on Chip Curbs; China Open to US Dialogue
Apr 16, 2025
Critty Goop, a seasoned host of Bloomberg Radio and TV in London, dives into the fallout from Nvidia's chip export restrictions that threaten its bottom line amid rising US-China trade tensions. The discussion highlights how these limitations could cost Nvidia billions and impact the entire semiconductor industry. Goop also touches on China's willingness to engage in trade talks if mutual respect is established, emphasizing the delicate balance of diplomatic relations and market strategies. Investors keenly await hints from Fed Chair Jay Powell on future rate management.
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Nvidia's $5.5B Hit From Chip Ban
- Nvidia faces a $5.5 billion write-down due to US restrictions on its H20 chip sales in China.
- The US fears the chip could be used in Chinese supercomputers with military applications.
Chip Equipment Orders Drop
- Dutch chip equipment maker ASML warns tariff announcements could disrupt semiconductor industry orders.
- They reported over $1.1 billion fewer orders than expected in Q1, affecting stock negatively.
Tesla Suspends China Shipments
- Tesla halts shipments of components from China for Cybertruck and semi trucks due to tariffs.
- Elon Musk absorbed initial 34% tariff but couldn't manage increased costs from further tariff hikes.