New York, Jan 28, 2026, 09:32 EST — Regular session
- Shares of Nvidia climbed roughly 1% soon after the open, buoyed by strength in chip stocks.
- A Reuters report revealed that China has given the green light for major tech firms to make initial purchases of Nvidia’s H200 AI chips, catching traders’ attention.
- The Federal Reserve’s decision and megacap earnings, both set for later Wednesday, remained key focus points.
NVIDIA Corp shares climbed 1.1% to $188.52 in early Wednesday trading, building on a robust rally in chip stocks. Advanced Micro Devices edged up 0.3%, Broadcom jumped 2.4%, and the VanEck Semiconductor ETF advanced 2.1%.
This move is significant as investors try to gauge Nvidia’s revenue exposure in China amid changing export regulations, all while questioning if the AI spending surge will sustain its momentum.
It comes on a day when macro shifts and megacap headlines can send the entire sector spinning. Nvidia often moves as a stand-in for the “AI trade,” even if the headlines point somewhere else.
China has given the green light to ByteDance, Alibaba, and Tencent to acquire over 400,000 of Nvidia’s H200 AI chips, according to four sources speaking to Reuters. However, the approvals come with conditions still being hammered out, and a fifth source noted that the licenses remain too restrictive for these companies to turn approvals into actual purchase orders. Nvidia and the firms declined to comment when reached by Reuters. (Reuters)
Chip stocks jumped early, buoyed by SK Hynix’s record quarterly profit and ASML’s biggest-ever Q4 order book, sparking a tech rally. “As we move into earnings season, there is a sense of increasing optimism,” said Louise Dudley, portfolio manager for global equities at Federated Hermes. (Reuters)
Europe’s ASML is seen as a clear barometer for Nvidia’s demand, given its control over extreme ultraviolet lithography machines essential for cutting-edge chip production. John West from consultancy Yole Group called EUV “the only game in town” in the Reuters report.
Nvidia is keeping a close eye on any easing at the Chinese border, given that the H200 ranks near the peak of its AI offerings and demand remains strong.
But there’s a catch: policy cuts both ways. Conditional approvals might end up delaying shipments, and any new U.S.-China tech tensions could hold back progress.
Traders will dig into the Fed statement and Chair Jerome Powell’s remarks later Wednesday, hunting for hints on rate moves. After that, attention shifts fast to earnings from major AI investors once the market closes.
Looking ahead, Nvidia bulls face a key challenge: will China’s approvals actually convert into solid orders and shipments? And can the company navigate restrictions, quotas, or compliance issues without denting its revenue growth?
