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Nvidia stock falls as new US chip rules threaten business in China

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The Biden administration's new restrictions on AI chip distribution to China could hurt Nvidia's business overseas.

) to China. Nvidia stock fell nearly 5% on the news and slumped more than 2% in early trading on Tuesday.

Citi moved its 12-month price target down to $575 from $630 on the news but maintained a Buy rating on the chipmaker, citing "secular AI growth which remains in early innings."Nvidia's current quarter is set to end on Oct.

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