US Stock Market Falls Amid Government Shutdown Concerns and AI Chip Stocks Rise

The US stock market saw slight declines, with the Dow Jones Industrial Average falling 0.1% to 46,282 and the S&P 500 down 0.1% at 6,656. Tech stocks like NVIDIA and Micron Technology rose, while major tech companies like Meta, Tesla, and Amazon declined. However, AI chip stocks continued their upward trend.

The U.S. stock market experienced a mixed performance on September 12, 2025, with the Dow Jones Industrial Average falling 0.1% to 46,282 and the S&P 500 down 0.1% at 6,656. However, tech stocks, particularly those involved in AI chip production, continued their upward trend, led by Nvidia (NASDAQ: NVDA) Nvidia Stock Price Forecast - NVDA Soars to $181.85 as $46B Quarterly Revenue, Intel Partnership, and $100B OpenAI Deal Reshape AI Market^[1].

Nvidia's stock surged to $181.85, up 2.05%, following a strong quarterly earnings report. The company reported $46 billion in quarterly revenue, a more than eightfold increase from early 2023. Gross margins remained robust at 73% GAAP and into the mid-70s non-GAAP Nvidia Stock Price Forecast - NVDA Soars to $181.85 as $46B Quarterly Revenue, Intel Partnership, and $100B OpenAI Deal Reshape AI Market^[1]. Nvidia's data center division, which accounts for a significant portion of its revenue, saw sales grow by 400% year-over-year. The demand for high-end GPUs like H100 and GH200, priced at $30,000–$40,000 per unit, has exceeded supply, creating a structural shortage Nvidia Stock Price Forecast - NVDA Soars to $181.85 as $46B Quarterly Revenue, Intel Partnership, and $100B OpenAI Deal Reshape AI Market^[1].

Nvidia's strategic partnerships also contributed to its stock performance. The company announced a $100 billion deal with OpenAI, committing 10 gigawatts of GPU capacity to the AI infrastructure provider. Additionally, Nvidia's partnership with Intel (NASDAQ: INTC) involves a $5 billion investment to co-develop AI-optimized CPUs, which could increase efficiency for enterprise workloads by 30–40% Nvidia Stock Price Forecast - NVDA Soars to $181.85 as $46B Quarterly Revenue, Intel Partnership, and $100B OpenAI Deal Reshape AI Market^[1].

Despite geopolitical risks, such as China's directive discouraging firms from buying Nvidia's top-tier GPUs, the company's strong fundamentals and backlog of orders have kept its stock momentum intact. Nvidia's dominance outside China and its unmatched performance benchmarks have mitigated the impact of export restrictions Nvidia Stock Price Forecast - NVDA Soars to $181.85 as $46B Quarterly Revenue, Intel Partnership, and $100B OpenAI Deal Reshape AI Market^[1].

Other tech stocks, including Micron Technology, saw gains, while major companies like Meta, Tesla, and Amazon experienced declines. The AI chip sector's upward trend was further supported by the broader tech industry's push to build out AI compute capacity, with companies like Qualcomm and Intel investing in new hardware and partnerships AI Stocks Rally Amid Bold Bets and Breakthroughs: Nvidia’s $100B Play, Tesla’s $1T Robotaxi Dream & More^[2].

Nvidia's strong performance has been bolstered by analysts' positive forecasts. Bank analysts at UBS reiterated a Buy on NVDA, estimating the OpenAI deal could add ~$400 billion in revenue and cement Nvidia’s path toward a $3–4 trillion AI market by 2030 AI Stocks Rally Amid Bold Bets and Breakthroughs: Nvidia’s $100B Play, Tesla’s $1T Robotaxi Dream & More^[2]. Despite the high valuations, the company's trajectory remains intact, with analysts forecasting EPS climbing from $3.50 in FY2025 to $6.34 in FY2027 and $7.44 in FY2028, implying a compound annual growth of 20–40% Nvidia Stock Price Forecast - NVDA Soars to $181.85 as $46B Quarterly Revenue, Intel Partnership, and $100B OpenAI Deal Reshape AI Market^[1].