The recent optimism on Wall Street dissipated early Thursday as companies continued to reassess their financial outlooks due to uncertainty over U.S. President Donald Trump's on-again-off-again tariff policies.

The analyst sees export restrictions of advanced AI chips causing a marginal shortfall to Nvidia's revenue and earnings in the near term, but the recent dip in the stock, which shaved more than $300 billion off Nvidia's market cap, more than accounts for the revenue loss.

Wall Street strategists still think stocks will recover by the end of 2025 — just not as dramatically as they had once predicted.