Nvidia stock has traded in a tight range ahead of the AI chipmaker's fiscal first-quarter report, due late Wednesday.

Nvidia reported a nearly 70 per cent surge in quarterly revenues, beating Wall Street estimates even as the chip company suffers a big hit to its business stemming from new US restrictions on its China sales.

Nvidia said it lost $2.5 billion in revenue from China during its fiscal first quarter and will see an additional $8 billion loss in the second quarter.

Still, the company flagged a $8 billion hit to second quarter sales from increased U.S. restrictions on chip sales to China. But investors appeared to have largely looked past this forecast, with Nvidia’s shares rising as much as 5% in U.S. aftermarket trade.

The market also wanted to hear about how the US’s ban on most chip exports to China is impacting revenue. The hit to Nvidia’s revenue is huge: the company said that it will hurt revenue in the current quarter to the tune of more than $8bn,

Nvidia's earnings report is expected to impact the entire stock market. Experts predict a 6% price swing, with traders pondering whether the stock will soar or sink. Analysts anticipate significant revenue and earnings growth,

Nvidia’s earnings have become some of the most closely watched numbers on Wall Street. The company makes up about 6.5% of the Nasdaq 100 and 5.5% of the S&P 500, so a good quarter can send the Nasdaq index soaring. A marginal or poor one can send it tumbling.

Nvidia started shipping its new GB200 NVL72 units this quarter and it isn't clear what the demand for these units looks like yet.

Investors shift focus on the impact of export restrictions to China in the wake of Nvidia’s quarterly earnings report on Wednesday.