Markets on Wall Street sank before the opening bell Wednesday as Nvidia and other technology companies were walloped by tighter U.S. controls on exports of advanced computer chips used for artificial intelligence, the Associated Press reports. Futures for the S&P 500 were down 0.6%, while futures for the Dow Jones Industrial Average were flat. Futures for the technology-heavy Nasdaq slid 1.3%.
Chipmaker Nvidia’s shares fell 6.5% in premarket trading after it said the U.S. had imposed stricter controls on its exports of one of its computer chips designed for use in artificial intelligence. Rival chipmaker AMD’s shares dropped 6.8%.
Trade war concerns also were revived by a Trump administration announcement of an investigation into imports of critical rare-earth minerals, which are used in smartphones, electric vehicles and many other products.
United Airlines jumped more than 7% in premarket after it easily beat Wall Street’s first-quarter profit targets. The airline issued two profit forecasts for 2025, one reflecting a “stable” macroeconomic environment and one anticipating a “recessionary” environment.
Some economists have forecast a recession if Trump ends up implementing his tariffs, which are expected to raise prices for consumers.
U.S. benchmark crude oil bounced back from early losses, gaining 51 cents to $61.84 per barrel, while Brent crude, the international standard, picked up 53 cents to $65.20 per barrel.
The U.S. dollar fell to 142.68 Japanese yen from 143.24 yen.
