Tech firms take center stage 

This report is from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

Nvidia shares fall after China opens investigation 
Shares of artificial intelligence darling Nvidia were under pressure after a regulator in China said it was investigating the chipmaker over possible violations of the country’s antimonopoly law. This investigation was in relation to Nvidia’s 2020 acquisition of Israeli firm Mellanox and some agreements made during the acquisition, the Chinese government said Monday. 

26-year-old detained by police in connection with fatal shooting of UnitedHealthcare CEO
University of Pennsylvania graduate Luigi Mangione was detained by police as a “strong person of interest” in the killing of UnitedHealthcare CEO Brian Thompson after police found him carrying a pistol, a silencer, a mask and fake identification cards. Mangione had in his possession a suspected “ghost gun” — which lacks a serial member — capable of firing 9 mm rounds, authorities said.

China trade in November misses expectations 
China’s exports and imports both missed expectations in November, fueling worries over the health of the Chinese economy. Exports rose 6.7% in U.S. dollar terms from a year ago, sharply lower than the 12.7% growth in the previous month and missing forecasts of a 8.5% rise. Import data surprised with a decline of 3.9%, compared to a 0.3% rise expected by economists. 

Most Asia markets gain, breaking ranks with Wall Street 
Most markets rose in Asia, shrugging off the weaker close overnight on Wall Street. South Korea’s Kospi led gains, rising 2.4%. The S&P 500 and Nasdaq Composite pulled back from record highs Monday, with tech shares lagging. The tech-heavy Nasdaq shed 0.62%, while the S&P fell 0.61%. The Dow Jones Industrial Average declined by 0.54%. 

[PRO] Investing in mid-caps may be the way to go in 2025
Mid-cap stocks could be the sweet spot for investors in 2025, having been outperforming recently. Many investors expect further gains for mid-caps, which offer better quality businesses than small-caps, as well as stronger growth prospects than large-caps.

Technology stocks have underpinned the impressive rally in US stocks this year. But they are not immune from the laws of gravity.

Monday’s session saw large technology stocks underperform the broader market. 

Oracle missed forecasts and AMD was downgraded by Bank of America. But perhaps the biggest news of the day concerned Nvidia, whose shares have surged an astounding 188% this year. China’s State Administration for Market Regulation opened an investigation into the chipmaker in relation to the acquisition of Mellanox and some agreements made during the acquisition. The news prompted Nvidia’s shares to fall 2.6% overnight.

 The development suggests that while the year is ending, the fight for tech dominance around the world may just be intensifying.

Competition between the U.S. and China over chipmaking is rising, with the Biden administration on Dec. 2 announcing a slew of curbs targeting semiconductor toolmakers. 

China then retaliated by banning exports of critical minerals such as gallium, and on the same day, four of the country’s top industry associations said Chinese companies should be wary of buying U.S. chips as they were “no longer safe” and buy locally instead.

Previous trade skirmishes have centered on areas such as metals, farm products, and automobiles.  With a tougher stance on China expected from the incoming Trump administration, could the next trade war instead be focused around chips, which arguably have permeated every facet of our lives?

— CNBC’s Samantha Subin contributed to this report.