The Trump administration is clearing a path for two key Persian Gulf allies to pursue their artificial intelligence ambitions - and some of the biggest US tech companies are seizing on that opening with plans to spend billions of dollars in the region.

NVIDIA Corporation (NVDA) is advancing 3% after Bank of America increased its price target on NVDA stock to $160 from $150.

A tech rally helped push the Nasdaq higher, with shares of AMD and Nvidia rising more than 4%. Alphabet (GOOGL, GOOG) ticked higher by over 3%, and shares of Super Micro Computer

Alongside the nebulous deal, Cisco said that it was extending its existing partnership with G42 to help deploy AI systems in the United Arab Emirates.

Other semiconductor stocks also did well Monday after Beijing and Washington agreed to drastically reduce tariffs for 90 days while talks on a more permanent deal continue.

NVIDIA (NasdaqGS:NVDA) recently formed a significant partnership with HUMAIN, marking a pivotal advancement in AI development. Over the last month, NVIDIA's stock price rose by 17%, primarily driven by this collaboration and other strategic initiatives,

Global AI, a US tech firm, plans to collaborate with a Saudi Arabian artificial intelligence venture, Humain, in an agreement expected to be worth billions of dollars, according to a person familiar with the mattter.