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Nvidia Stock Drops: US Chip Export to China Uncertain
4 Feb
Summary
- Nvidia shares hit lowest point of 2026 amid China export concerns.
- H200 chip exports to China await US regulatory clearance.
- Nvidia's stock faces pressure from OpenAI investment delays.
Nvidia shares experienced a significant drop on Tuesday, reaching their lowest point of 2026 and trading below the $177 mark. This downturn is largely attributed to ongoing concerns about the company's chip exports to China. Specifically, shipments of Nvidia's H200 chips to Chinese customers are reportedly still awaiting final approval from US regulators.
Further adding to the pressure, AMD recently disclosed uncertainty regarding its own shipments to China, a statement that negatively impacted Nvidia's stock price. Earlier optimism about H200 chip deliveries to Chinese partners commencing in early 2026 has recently faded. Additional headwinds may also be stemming from reports of delays in investments linked to OpenAI, which is rumored to be exploring alternative chip suppliers.
Technically, while Nvidia's stock had previously moved towards the median of a long-term upward price channel, recent price action in January has not sustained a broader uptrend. Bearish signals include the channel median acting as resistance and a false breakout above a prior peak on January 30th. The stock's upcoming earnings report on February 25th is anticipated to be a key factor in determining its next decisive move.
