Nvidia stock was edging higher Tuesday, suggesting investors aren’t too fazed by the big-money computing deal that rival chip maker Advanced Micro Devices just signed with OpenAI.

Nvidia shares rose 1.6% to $188.48 in early trading, having dropped 1.1% the previous session.

The stock took a hit after OpenAI and AMD announced their deal, which some took as a sign that Nvidia's position as Big Tech's go-to chip supplier could eventually come under threat.

Still, there are plenty of reasons for shareholders to feel optimistic. Nvidia could get a boost when U.S. President Donald Trump meets with China's leader Xi Jinping at the APEC Summit later this month, Raymond James analyst Ed Mills said in a research note on Monday.

"We could be on the brink of a potential paradigm shift in China tech restrictions, with Presidents Trump and Xi set to meet," Mills wrote, adding that it's possible China could soon get access to Nvidia's Blackwell chips. Nvidia CEO Jensen Huang warned in May that the U.S. government's move to limit AI chip sales to China could dent the company's revenue by about $15 billion.

In other news, at least one major AI project appears to be set to boost Nvidia's sales. Elon Musk's xAI will have to spend at least $18 billion for the roughly 300,000 chips it needs to complete its data-center project in Memphis, The Wall Street Journal reported on Sunday, citing a person familiar with the project's financials.

As of Monday's closing bell, Nvidia stock was up 38% this year. The S&P 500 has climbed 15% in 2025.