Why Archer Aviation Stock Is Sinking Today

Archer Aviation (NYSE: ACHR) stock is losing ground in Monday's trading due to geopolitical risk factors. The company's share price was down 7.1% as of 2:45 p.m. ET amid a 0.1% decline for the S&P 500 (SNPINDEX: ^GSPC) and a 0.6% decline for the Nasdaq Composite (NASDAQINDEX: ^IXIC). The flying EV specialist's stock had been down as much as 10% earlier in the session.Archer Aviation stock is falling today on the heels of news that the U.S. is expanding its restrictions on the export of artificial intelligence (AI) chips and semiconductor manufacturing equipment to China, Russia, Iran, and North Korea. AI technologies have emerged as a key competitive battleground between rival world powers, and investors are worried that rising geopolitical tensions could create bearish pressures for stocks.Before the market opened this morning, the Biden administration detailed new restrictions on AI chip exports. While restrictions were already in place that prevented the export of advanced processors and semiconductor manufacturing equipment to China, the scope of limitations is poised to increase. In addition to expanding export restrictions to block sales to other adversarial nations, the new regulations will put a cap on the number of AI chips that can be sold to many other countries. Meanwhile, the U.S.'s closest allies will have unfettered purchasing access. Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool