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Nvidia (NASDAQ:NVDA) led chip stocks higher on Tuesday after the company said it hopes to resume sales of its H20 chips in China, citing U.S. government assurances that export licenses will be granted.
AI chipmakers Nvidia (NASDAQ:NVDA) jumped about 4%, while Advanced Micro Devices (AMD) surged nearly 7% on Tuesday. Broadcom (AVGO) climbed around 2%, while Qualcomm (QCOM) rose roughly 1%.
Nvidia CEO Jensen Huang also unveiled a new compliant chip, the RTX PRO, aimed at smart factories and logistics. The Nvidia chief recently met with U.S. President Donald Trump to express support for U.S. job creation, onshoring, and AI leadership. He also met with Chinese officials to promote safe AI collaboration.
Wall Street analysts cheered the developments, with Wedbush calling it “a watershed moment for Nvidia, the AI Revolution thesis, and the overall US tech industry.” Meanwhile, Wells Fargo said Nvidia resuming the sales of its H20 graphics processing units, or GPUs, into China is also a notable positive for AMD and Micron Technology (MU).
Micron’s stock was up about 2%.
Shares of Taiwan Semiconductor Manufacturing (TSM) and Lattice Semiconductor (LSCC) each climbed about 3%. Marvell Technology (MRVL), GlobalFoundries (GFS) and Intel (INTC) each rose around 2%. Analog Devices (ADI) was up roughly 1%, while Texas Instruments (TXN) was largely flat but in the green.
Meanwhile, chip equipment makers: Dutch company ASML (ASML), Applied Materials (AMAT) and Lam Research (LRCX) rose around 2% each, while KLA (KLAC) was up nearly 1%.
More on NVIDIA
- Nvidia: Back In The China Game
- Nvidia’s CEO Is Selling His Shares As The Stock Touches $4 Trillion Market Cap
- Nvidia: If I Were Long (Rating Downgrade)
- Wall Street analysts cheer as Nvidia set to resume sale of H20 chips to China
- Nvidia stock climbs as H20 chip sales to China set to resume after U.S. assures export licenses