Nvidia Faces Significant Financial Hit Due to US Export Restrictions

In a startling development, Nvidia, a global powerhouse in artificial intelligence technology, experienced a sharp 7% drop in premarket trading this Wednesday. This downturn comes in the wake of the company's alarming announcement regarding a projected $5.5 billion loss, attributed to newly imposed US tariff restrictions on high-end chip exports to China, including the H20 model.

The revelation was first uncovered in a filing with the US Securities and Exchange Commission (SEC), highlighting the potential financial repercussions of Washington's recent policy shift. By 4:10 am ET, Nvidia's shares had fallen to $112.20, marking a significant 7.08% decline.