- NASDAQ:NVDA fell by 2.76% during Tuesday’s trading session.
- NVIDIA reveals several new partnerships with EV makers.
- A factory fire causes the broader semiconductor industry to plummet.
NASDAQ:NVDA saw the ups and downs from 2021 continue on Tuesday, but much of its decline was due to general weakness in growth sectors once again. Shares of NVIDIA fell by 2.76% and closed the second trading day of the year at $292.90. The NASDAQ tumbled by 1.33% just a day after starting 2022 off on the front foot. Blue chip stocks were the winners on Tuesday, as rising interest rates saw a cycle back to value stocks. The Dow Jones spiked by 214 basis points as the markets remained fragmented to start the year. Semiconductor stocks helped drag the NASDAQ down as AMD (NASDAQ:AMD), Intel (NASDAQ:INTC), and Marvell Technology (NASDAQ:MRVL) were all trading below water alongside NVIDIA.
Stay up to speed with hot stocks' news!
Tuesday saw NVIDIA present its latest technologies at the annual CES expo and the company did not disappoint. NVIDIA revealed a new partnership with Chinese EV makers like Nio (NYSE:NIO), Li Auto (NASDAQ:LI), and XPeng (NYSE:XPEV) have all adopted its NVIDIA Drive Hyperion platform. This is an autonomous driving technology that will help close the gap between these EV makers and industry leader Tesla (NASDAQ:TSLA).
NVIDIA stock chart
Another factor that sent the semiconductor industry spiralling out of control? ASML (NASDAQ:ASML) is a manufacturer of machinery that produces semiconductor microchips. Well, on Friday of last week, ASML’s Berlin factory caught fire and some believe this could have an impact on production in the short-term. ASML provides chips for both Samsung and Taiwan Semiconductor (NYSE:TSM), which supply many of the semiconductor companies around the world including NVIDIA. The extent of the damage has yet to be determined, but it seems like investors were already fearing for the worst on Tuesday.
Like this article? Help us with some feedback by answering this survey:
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD drops further to 0.6250 amid mounting trade war fears
AUD/USD extends losses to test 0.6250 amid mounting trade war fears, fueled by US President Trump's tariff plans. Furthermore, RBA rate cut bets, China's economic woes and a modest US Dollar strength amid risk aversion drag the Aussie away from over a one-month peak.
USD/JPY regains 155.50 as Trump's tariff plans boost US Dollar
USD/JPY builds on the overnight bounce from a six-week low and regains 155.50 in Tuesday's Asian trading.Softer Japanese service-sector inflation data provided extra legs to the pair's recovery. Moreover, US President Donald Trump's tariff plans-led USD strength underpins USD/JPY.
Gold down but not yet out as Trump and Fed grab attention
Gold price licks its wounds following the sharp pullback from three-month highs just shy of the all-time peak of $2,790. Gold trades take account of the latest tariff talks by US President Donald Trump and his administration as attention turns toward mid-tier US economic data and Federal Reserve policy announcements.
Ripple's regulatory approvals from New York and Texas fail to boost XRP price
XRP briefly slipped below $3.00 on Monday following Ripple's announcement that it has obtained Money Transmitter Licenses in New York and Texas, permitting customers in the region to enjoy its services.
What is DeepSeek, and why is it important?
Several Chinese companies pivoted into making their various AI model offerings open source last week, sending shockwaves through the tech sector. Chinese tech startups look set to disrupt the AI space, which has, until recently, been almost singularly dominated by high-priced US tech giants and soaring valuations.
Trusted Broker Reviews for Smarter Trading
VERIFIED Discover in-depth reviews of reliable brokers. Compare features like spreads, leverage, and platforms. Find the perfect fit for your trading style, from CFDs to Forex pairs like EUR/USD and Gold.