"China Blocks U.S. Chip Usage in Government Computers, Impacting Intel and AMD"

Intel and AMD stocks dropped over 2% after reports that China plans to limit the use of their chips and servers in government computers, aiming to phase out U.S. chips and software in favor of domestic options. This move could potentially impact billions of dollars in sales for the U.S. companies, with China being Intel's largest market in 2023 and AMD drawing about 15% of its sales from the country. The chip firms were on track to shed a combined $11 billion in market value based on premarket movements.