US Considers Imposing AI Chip Export Restrictions to China, Nvidia and AMD Stocks Plummet

U.S. stock futures, particularly in the technology sector, dipped after reports emerged that the Biden administration is considering a new ban on sales of AI chips to China. This news has impacted chip stocks, with Nvidia and Advanced Micro Devices (AMD) experiencing declines. Nvidia, which generates 20% of its revenues in China, saw its stock drop by 4.8%, while AMD fell by 3.6%. The potential ban has halted the recent rally in the tech-heavy Nasdaq index. Investors are also closely watching the European Central Bank's annual forum on central banking, where Federal Reserve Chair Jay Powell will be speaking.