Nvidia loses $270 billion on the stock market after revealing its CEO's affair with an alleged Chinese spy

The technology company Nvidia, one of the Magnificent Seven of Wall Street and the axis of the development of artificial intelligence (AI) made in the USA since the production of semiconductors, has started the day with a 6.6% collapse in the stock market at the opening of Wall Street. And although for a moment the drop was 8%, at the close of the European stock market session it had moderated to 5.5%.

So at current levels, the chip manufacturer has accumulated a loss of more than $269 billion in market capitalization compared to its last closing price, when the shares were trading at $186.64. Although today this cut has reached 280,000 million dollars.

What is the reason for this Monday's disaster? The romantic relationship, admitted yesterday, of its CEO and founder, Jensen Huang, with Alice Huang, former director of Megaspeed International. This company, a former Nvidia client, is located in Singapore and is being investigated by the US as a possible Trojan horse through which China would have bypassed firewalls to access Nvidia's most advanced AI chips.

So today was a stock market death announced early this Monday and that analysts were already discounting, after stock futures sank 5.7% with the markets still closed, and after it emerged that an investigation had been initiated by the Board of Directors of the tech giant into its CEO and founder.

"The Council has assured that there are no indications that corporate secrets or national security have been compromised, but we will be awaiting the outcome of the investigation due to its implications in US-China geopolitics," warned Renta 4 analysts. Donald Trump, US president, does not believe this either, who expressed yesterday to the CEO of Nvidia, ensuring that he should remain in his position at the head of the company. For its part, Beijing rejected this Monday the accusations leveled against the Chinese Government of being behind this extramarital relationship.

"The board prioritizes the economic and national security of the United States, which is of utmost importance to the interests of Nvidia and its shareholders," the company said in a statement.