What's Going On With Nvidia, AMD Stocks On Wednesday?
Nvidia Corp (NASDAQ:NVDA), Advanced Micro Devices, Inc (NASDAQ:AMD), and other semiconductor chip companies are trading higher on Wednesday due to the continued artificial intelligence frenzy amid odds.
The U.S. government proposes to extend its semiconductor technology embargo to Russia after China and the Middle East, citing that China’s increasing trade with Russia is enabling Moscow to continue arming its military.
Prior sanctions on China followed manufacturing of tailor-made lesser effective chips by the semiconductor companies to comply with the sanctions.
Meanwhile, key Nvidia supplier Taiwan Semiconductor Manufacturing Co (NYSE:TSM) is looking to hire nearly 2,000 employees from Europe through its subsidiary European Semiconductor Manufacturing Co (ESMC).
The move coincides with TSMC’s plans to start building a 12-inch wafer fab in Dresden in partnership with Robert Bosch GmbH, Infineon Technologies AG, and NXP Semiconductors NV (NASDAQ:NXPI).
Nvidia impresses the Street as the numero uno AI beneficiary backed by Blackwell’s launch. They also maintain that AMD’s market share gains in the client and server CPU market thanks to its product lineup.
Nvidia stock gained over 206% in the last 12 months. AMD is up over 23%.
Investors can gain exposure to the semiconductor sector through the VanEck Semiconductor ETF (NASDAQ:SMH) and the iShares Semiconductor ETF (NASDAQ:SOXX).
Price Actions: NVDA shares were trading higher by 3.98% at $125.72 at the last check on Wednesday. AMD shares traded higher by 0.93% at $160.40.
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