The Dow Jones index Wednesday trimmed gains that arrived after bank earnings and tame wholesale inflation data. ASML stock plunged on this warning.

Needham is the latest Wall Street giant to crank up Nvidia’s price target, and the jump is big. The firm bumped its price target to $200 from $160, while maintaining a buy rating, following Nvidia’s confirmation that it’s gearing up to resume H20 chip sales to China.

Nvidia (NASDAQ: NVDA) shares surged 4% to close at $170.70 on Tuesday, outpacing broader market indices as investors responded positively to news about graphics processing unit (GPU) exports to China resuming.

US stock market rises as Dow Jones Industrial Average rose slightly on Wednesday, gaining 88 points (0.3%) as investors reacted to better-than-expected bank earnings from Goldman Sachs, Morgan Stanley,

The Dow Jones index wavered Tuesday after the CPI inflation report. Nvidia stock surged on AI chip sales to China.

What Happened? Shares of leading designer of graphics chips Nvidia (NASDAQ:NVDA) jumped 4.2% in the afternoon session after the company confirmed it will resume sales of its H20 AI chips to China after receiving assurances from the U.

Nvidia Corporation leads the global AI revolution. U.S.-China export breakthroughs boost H20 GPU sales in China, driving revenue. Click for my NVDA update.

The stock is worth $4 trillion for a good reason. Nvidia's dominance in AI chips allows it to earn very high margins. Nvidia made $77 billion in net income on $148 billion of revenue over the last year, and its net income has increased 892% over the last three years.