Why Nvidia Stock Is Falling Today?

Nvidia Corp NVDA stock is trading lower amid rising Treasury yields, which have pressured growth sectors.

The stock is part of major ETFs like Invesco QQQ Trust, Series 1 QQQ, and SPDR S&P 500 SPY.

Other factors that impact the stock are the geopolitical tensions between the U.S. and China continue to intensify. The Chinese government has banned its officials from using Apple Inc's AAPL iPhones and other foreign-branded devices at work in retaliation against U.S. semiconductor sanctions.

China accounts for 19% of Apple's overall revenue. Meanwhile, Nvidia is in jitters over more repercussions from China, which is also a significant market for the chip designer for whom it had tailor-made artificial intelligence chips to comply with the U.S. sanctions.

Also, Apple and its suppliers and other U.S. companies have been eying India to boost supply chains, reducing their dependence on China. 

Nvidia chief Jensen Huang's meeting with Indian Prime Minister Narendra Modi further fueled speculations of Nvidia setting up a GPU and artificial intelligence chip factory in India.

Meanwhile, Softbank Group Corp SFTBF backed British chip designer Arm Ltd once Nvidia pursued is eyeing a valuation of $50 billion - $54 billion for its U.S. IPO.

Price Action: NVDA shares traded lower by 3.65% at $467.57 on the last check Wednesday.