Nvidia Shares Fall 1.4% Premarket Amid China Trade Fears

Nvidia shares dropped 1.4% in premarket trading on Monday, following a 2.1% decline in the prior session. The decline is attributed to renewed efforts by China to bolster its semiconductor sector in response to U.S. sanctions, with Beijing urging local companies to avoid using Nvidia chips. Consequently, Nvidia's stock fell to $119.57 in the premarket. TSMC, which manufactures Nvidia's top AI chips, also saw its shares fall in Taiwan after a heavy 4.7% loss in its US-listed ADRs on Friday. Despite the recent decline, Nvidia's monthly gain looks secure. Mizuho has raised its 2025 GPU shipment forecast for Nvidia to 6.5 to 7.0 million units, 8-10% higher than previous estimates, driven by improvements in TSMC's CoWoS supply.