WASHINGTON — Democratic Representative Ro Khanna and his spouse offloaded Nvidia stock right as the semiconductor behemoth scaled historic heights, liquidating tranches days before chief executive Jensen Huang stepped down over ties to an alleged Chinese spy.
Financial disclosures tracked by Capitol Trades reveal that Khanna's wife executed two separate divestments of Nvidia stock, each valued between $1,000 and $15,000, on September 4 and October 7. The timing was exact. Nvidia touched an all-time peak on October 6, barely twenty-four hours before the second transaction cleared. The sales immediately preceded a brutal market rout sparked by Huang’s exit. The dual sales have ignited fierce scrutiny online over whether the Silicon Valley lawmaker possessed advance visibility into the looming fallout. Yet congressional records establish that the allegations currently circulating across social platforms remain unproven speculation.
The optics carry sharp political friction. Khanna represents California’s 17th Congressional District in the heart of Silicon Valley and champions total prohibitions on congressional stock trading. He also occupies a critical post on the House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party.
Nvidia shares tumbled 7% through Wednesday’s close and plunged another 8% in overnight trade as turmoil engulfed the chip designer. The sell-off deepened amid circulating reports detailing an alleged second extramarital relationship involving Huang and intensifying speculation surrounding his leadership status.
Huang resigned after disclosures surfaced regarding his personal relationship with Alice Huang. Federal authorities previously investigated Alice Huang, an executive at Megaspeed, identifying her as a Chinese intelligence asset. The departing executive admitted to the extramarital affair but provided no operational details. Huang personally informed President Donald Trump that he possessed no prior knowledge of the espionage accusations levelled against Alice Huang.
Wall Street bulls attempted to stem the bleeding.
Buy the dip in NVDA.
Tom Lee, Head of Research at Fundstrat
Public filings reveal that the autumn divestments fit an established pattern of well-timed executions. Khanna and his wife previously shed two distinct lots of Nvidia stock, each valued between $1,000 and $15,000, during early and late May. Nvidia stock reached its second-highest price on May 14, neatly bracketing those transactions. Disclosures also document that Khanna accumulated Nvidia shares across multiple purchases between June and September before the autumn sales commenced.
| Disclosure Period | Transaction Type | Value Range | Share Price Context | Official Status |
|---|---|---|---|---|
| Early & Late May | 2x Sale Disposals | $1,000 – $15,000 each | Near 2nd Highest Peak (May 14) | Executed |
| June – September | Multiple Acquisitions | Disclosed Tranches | Accumulation Window | Executed |
| September 4 | Sale Disposal | $1,000 – $15,000 |
Capitol Hill remains deadlocked on structural ethics reform. The House passed the Stop Insider Trading Act in July 2026, advancing legislation designed to bar members of Congress, their spouses, and dependent children from purchasing individual equities. That statute would have permitted members to retain existing equity portfolios while mandating public advance notice for divestments. The reform collapsed in the Senate in September, garnering only 53 affirmative votes against the 60-vote threshold necessary to defeat a filibuster. With Huang out at Nvidia and regulatory scrutiny mounting over Capitol Hill transactions, congressional ethics panels face renewed calls to revisit trading prohibitions before the legislative calendar sunsets.
| Pre-Peak Run |
| Executed |
| October 7 | Sale Disposal | $1,000 – $15,000 | 1 Day Post All-Time High (Oct 6) | Executed |
| Post-Sale Window | Market Fallout | N/A | Slumped 7% + 8% Overnight | Executive Resigned |