Nvidia-ARM deal probe paused by EU antitrust regulators

Yahoo Finance Live co-hosts Julie Hyman, Brian Cheung, and Brian Sozzi look at Nvidia's shares dipping as EU antitrust regulators pause their investigatory probe into Nvidia's acquisition of chipmaker ARM.

Video Transcript

BRIAN CHEUNG: Let's shift gears now also to NVIDIA. We were asking the question earlier in the program, after the markets opened, about why shares were down, currently down by almost 7%. Actually, it was as low as about 280 bucks at the time. You can see it's rebounded a little bit to $286, this coming on the news that the European Union's antitrust regulators apparently paused their investigation into the merger with A-R-M, with ARM.

Obviously, this has been something that's been catching a lot of news attention. Julie, I know you're watching the chips base very closely right now.

JULIE HYMAN: Yeah, because that NVIDIA drop of about 8% at the open really caught me off guard. Now, the fact that the EU has paused its investigation of NVIDIA into ARM Holdings, unclear of that, what that implies, or if that is something that's having an effect on the stock.

There was some monthly sales data that came out from the Semiconductor Industry Association. Bloomberg is flagging that as a potential reason behind the fall in some of these companies, particularly the memory chip makers, Deutsche Bank saying that that data from that industry association missed its expectations for the second straight month. Morgan Stanley also saying sales were weaker than expected. So that might be weighing on the chip makers.

That said, the NASDAQ has been seeing some really wild moves again today. This is something we've been seeing now, of course, guys, for the past couple of weeks-- past week in particular-- where the NASDAQ opened up slightly higher, then fell by as much as 1%. Now it's only down about 1/3 of 1%. So, you know, Brian Cheung, there's no telling where we're gonna close the day today.