Nvidia Shares Drop 4% to $210.65 After Jobs Data, U.S. Tightens China AI Chip Controls
NVDA•Nvidia shares fell about 4% to $210.65 on Thursday as stronger May payrolls and elevated yields triggered a tech selloff, compounded by Broadcom’s AI chip revenue outlook miss and a small ex-dividend adjustment. U.S. regulators then reaffirmed 2023 AI chip export restrictions on China after enforcement loophole concerns surfaced.
1. Thursday Tech Selloff Hits Nvidia
On June 5, Nvidia shares declined about 4% in morning trading to $210.65 after U.S. May payrolls exceeded forecasts and unemployment fell to 3.4%, reinforcing expectations of prolonged higher interest rates. Broadcom’s AI chip revenue outlook miss further pressured semiconductor stocks, and Wednesday’s ex-dividend date trimmed Nvidia’s share price.
2. U.S. Reaffirms AI Chip Export Restrictions
The Commerce Department’s Bureau of Industry and Security issued an advisory confirming that 2023 restrictions on exporting advanced AI chips to Chinese companies remain fully in effect worldwide. The advisory follows debate over potential loopholes created by Trump-era policy shifts, addressing concerns of unlicensed Nvidia chip shipments through third-country server sales.
