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Why is NVDQ Down Today After Export Restrictions

The ETF Opportunities Trust T-Rex 2X Inverse NVIDIA Daily Target ETF (NVDQ) closed down 6.7% at $3.13 on January 15, 2025, as Nvidia's stock continues to face significant headwinds. Nvidia's shares have dropped 12% over the past five sessions, driven by a combination of slowing revenue growth, increased competition, and potential regulatory challenges. The Biden administration's recent export restrictions on Nvidia's advanced AI chips, particularly to China and Russia, have raised concerns about the company's future revenue streams and market share. These restrictions could limit Nvidia's ability to sell its high-end AI chips, potentially reducing its total addressable market and affecting quarterly revenues. Additionally, Nvidia's CEO Jensen Huang's tempered comments on quantum computing at CES have further dampened investor sentiment. Despite these challenges, some analysts remain optimistic about Nvidia's long-term growth potential, projecting a 32% rise in its stock over the coming year.