Chip Stocks Slide 5% as TSMC's Record Profit Fails to Soothe AI Worries
SOX has more than doubled off its 52-week low of $5,418.316.
Summary
The PHLX Semiconductor Index is down 5% in afternoon trading, erasing recent gains as TSMC's fifth straight record quarter fails to impress. The selloff is broad, with Sandisk, Western Digital, and Marvell among the biggest losers. Steep drops in SK Hynix and Samsung dragged South Korea's KOSPI down more than 6%, adding to the negative sentiment. This follows a choppy period for the sector, including an 8% plunge on June 23, but today's move is driven by fresh catalysts: TSMC's earnings, AI demand concerns, and rising Middle East tensions that have injected oil-price volatility. The Nasdaq is off about 1%, and traders are also digesting weaker retail sales data. Netflix earnings after the close could set the tone for tech tomorrow.
At the time of this announcement, SOX was trading at $11,809.07 on NASDAQ in the Technology sector. The 52-week trading range was $5,418.32 to $14,655.29. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.