All three major US stock indexes were in the red at midday Wednesday, with the Nasdaq Composite down about 2%, stemming from chipmakers' downbeat outlooks tied to the US trade conflict with China.

In company news, Nvidia (NVDA) said late Tuesday it expects a $5.5 billion charge related to exporting its H20 graphics processing units to China. The US government informed the company that it requires a license to export its "H20 integrated circuits and any other circuits achieving the H20's memory bandwidth, interconnect bandwidth, or combination thereof," Nvidia said in a regulatory filing. Meanwhile, Advanced Micro Devices (AMD) said Wednesday the new US license rules on exports of some semiconductor products to China may result in charges of up to $800 million. The new export rules apply to the company's MI308 products, AMD said, adding that it will apply for licenses, but there is "no assurance that licenses will be granted." Nvidia shares were down roughly 7% at midday, while those of AMD were down 6.5%.

ASML Holding (ASML) reported fiscal Q1 earnings Wednesday of 6 euros ($6.82) per diluted share, up from 3.11 euros a year earlier and above the consensus estimate of analysts surveyed by FactSet calling for 5.74 euros. Fiscal Q1 net sales were 7.74 billion euros, up from 5.29 billion euros in the year-ago period but below the FactSet consensus estimate of 7.77 billion euros. For fiscal Q2, the company expects net sales in a range of 7.2 billion euros to 7.7 billion euros, while the FactSet consensus calls for 7.80 billion euros. ASML shares were down 5.4%.

Tesla (TSLA) has paused the shipping of key components from China for its upcoming Cybercab and Semi models after significant increases to US tariffs on China, Reuters reported Wednesday, citing a source familiar with the matter. The electric-vehicle maker was initially prepared to handle a 34% duty, but additional hikes brought the tariff total to 145%, making the cost unsustainable, the report said. Tesla shares were down 1.9%.

Abbott Laboratories (ABT) reported Q1 adjusted earnings Wednesday of $1.09 per diluted share, up from $0.98 a year earlier and above the FactSet consensus estimate of $1.07. First-quarter revenue was $10.36 billion, up from $9.96 billion in the year-ago period but below the FactSet consensus of $10.41 billion. For Q2, the company expects adjusted diluted EPS of $1.23 to $1.27, compared to the FactSet consensus of $1.25. Abbott said Wednesday that its new manufacturing and R&D investments in the US total $500 million and are expected to be operational by the end of 2025. The investments are being made in two facilities located in Illinois and Texas, respectively, the company said. Abbott shares were up 5.4%.

KKR (KKR) is mulling a potential sale of Atlantic Aviation that may value the private jet fixed base operator at $10 billion, Bloomberg reported Wednesday, citing people familiar with the matter. The private-equity giant is also considering a partial stake sale and an initial public offering, the report said, citing one of the people. KKR shares were down 0.6%.

Bill Ackman's Pershing Square Capital disclosed Wednesday in a regulatory filing that it holds roughly 12.7 million Hertz (HTZ) shares worth around $46.5 million. Hertz shares were up more than 14%.

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