US Trade Tensions Weigh on Chip Stocks and Crypto Sentiment Amid China’s Talk Readiness

US stock markets opened lower on April 16 as investors processed mixed signals from ongoing US-China trade tensions. Major chip stocks including Nvidia, AMD, ASML, and Micron Technology experienced sharp declines, with Nvidia dropping 6% after warning of a $5.5 billion quarterly charge tied to new restrictions on AI chip exports to China. This setback came despite an earlier recovery attempt ahead of Wall Street’s open. In parallel, China indicated willingness to engage in trade talks with the US provided it receives 'respect', a stance that could ease overall market pressures if discussions progress positively. On the cryptocurrency front, there were hints of risk for AI crypto tokens, and a slight dip in crypto prices was noted alongside the drop in traditional equity indices. Retail sales showed a modest rise of 1.4% in March, aligning with consensus, yet broader economic sentiment remains cautious amid escalating tariffs and export curbs.