Nvidia (NASDAQ: NVDA), which reached $5 trillion in market capitalization for the first time, had nearly $500 billion wiped from its overall value this week.
Nvidia’s market capitalization reached $4.94 trillion on Monday, November 3rd, but has since declined to $4.45 trillion as of this writing, Friday, November 7th.
The company’s stock has been steadily declining since Monday, with the price currently down nearly 13% on the five-day chart and trading at $181.19 at press time.
A number of factors dampened investor sentiment, including weak labor data and valuation concerns in the artificial intelligence (AI) sector, resulting in Palantir (NASDAQ:PLTR) erasing $42 billion from its market cap in less than 24 hours.
Further pressure was added by Michael Burley’s $1 trillion short bet on Palantir and Nvidia, a move criticized by investors as “completely wrong.”
Nvidia’s China operations temporarily suspended
Adding to the market volatility, Nvidia CEO Jensen Huang said on Friday that there had been “no active discussions” about selling the company’s Blackwell chips in China.
“At this time, we have no plans to ship anything to China. It’s up to China to decide when to bring Nvidia products to the Chinese market. I look forward to seeing China change course.” Huang said in an interview.
The remarks ended last week’s speculation that talks between US President Donald Trump and Chinese President Xi Jinping in South Korea could end with a new deal.
Other chip stocks were quickly redacted. For example, AMD (NASDAQ: AMD) is down nearly 5% on the day, and Broadcom (NASDAQ: AVGO) is down 3.5%.
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