đź’» FICO Drops, NVDA Gains, VGT Faces Pressure as U.S. Imposes 25% Tariffs on Japan, South Korea Excerpt | Tech Sector Insights
(VGT) is under pressure following President Trump’s announcement of new 25% tariffs on imports from Japan and South Korea. Samsung’s Q2 profit dropped due to shipping delays of memory chips used in NVIDIA’s systems. Intel also announced job cuts amid operational streamlining.
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Tuesday, July 8
VGT [+0.4%]
Vanguard Information Technology ETF (VGT)
President Donald Trump announced new tariffs of 25% on imports from Japan and South Korea, effective August 1, raising concerns about escalating trade tensions that could significantly impact the technology sector, including companies within the Vanguard Information Technology ETF (VGT) portfolio. The Reserve Bank of Australia maintained its cash rate at 3.85%, which may influence market reactions to monetary policy stability amid ongoing global uncertainties related to trade policies. Among the ETF's holdings, NVIDIA Corp saw a positive return, with Citi's top analyst raising its price target due to an expanding AI market. In contrast, Samsung Electronics reported a significant drop in Q2 operating profit due to shipping delays of high-bandwidth memory chips to NVIDIA. Additionally, Intel Corp is cutting over 500 jobs in Oregon and previously laid off employees in California as part of a strategy to streamline operations amidst affordability challenges.