Chip Stocks Shed $2 Trillion as Rate-Hike Bets and AI Cost Fears Snowball
SOX sits 84% above its 52-week low of $6,160.045.
Summary
The Philadelphia Semiconductor Index is down 3.3% Thursday, bringing the cumulative selloff since last week to roughly $2 trillion in destroyed market value — $1.64 trillion of that in just the past six sessions. The trigger is a hotter-than-expected US CPI print that has traders pricing in an interest-rate hike, compounded by mounting doubts over the cost of the AI buildout. This extends a brutal stretch for the group: SOX entered a bear market in mid-July, briefly rebounded to an all-time high on September 21, and has now given back that ground. The rate-hike repricing is the key new pressure — higher discount rates hit long-duration AI capex stories hardest.
At the time of this announcement, SOX was trading at $11,327.18 on NASDAQ in the Technology sector. The 52-week trading range was $6,160.04 to $14,655.29. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Reuters.