Alibaba stock falls as much as 7% on fears of tighter U.S. AI chip scrutiny

What happened: Alibaba stock fell as much as 7% on fears of tighter U.S. scrutiny of AI chips. Z.AI and MiniMax fell at least 8% as an Nvidia scandal fueled worries about Chinese cloud access to advanced chips. Key numbers: Alibaba down as much as 7%. Z.AI and MiniMax down at least 8%. Why it matters: The declines show investors linking the Nvidia scandal to the risk that Chinese cloud providers could face restricted access to advanced chips.

Alibaba stock fell as much as 7% on fears of tighter U.S. scrutiny of AI chips. Z.AI and MiniMax fell at least 8% as an Nvidia scandal fueled worries about Chinese cloud access to advanced chips.

The declines show investors linking the Nvidia scandal to the risk that Chinese cloud providers could face restricted access to advanced chips.