Bessent questions did Nvidia "goose" earnings with suspect China chip sales

Treasury Secretary Scott Bessent expressed concerns on Sunday about potential inflated earnings at Nvidia due to questionable sales to China. In an appearance on Fox News, Bessent urged the company to appoint an outsider as CEO and called for answers within a 10-day timeframe from the board and outside counsel. The Treasury secretary questioned the company's culture, alleging that it may have encouraged illicit sales to ensure revenue growth.

Bessent suggested that the Commerce Department should review why it failed to enforce stricter export controls on Nvidia. Since the scandal surfaced in late October, Nvidia's stock has lost over $1.2 trillion in market value, affecting millions of Americans. With Nvidia set to report its quarterly results on Tuesday, the company's future remains uncertain amidst these allegations.