The YieldMax NVDA Option Income Strategy ETF (NVDY) closed down 1.21% at $22.11 on January 16th, as Nvidia's stock fell 2.05% to $133.45 amid concerns over AI chip sanctions and market dynamics. Nvidia faced a $10 billion setback due to new U.S. sanctions on AI chip exports, which could impact its growth trajectory. Despite strong demand for Taiwan Semiconductor's advanced packaging, Nvidia's potential scaling back of orders raised investor concerns. TSMC's robust earnings report, with a 57% increase in net income, highlighted the ongoing demand for AI chips, but the sustainability of this boom remains in question. The semiconductor sector is also navigating the implications of U.S. export controls, which TSMC claims will have minimal impact, yet investor sentiment remains cautious.