Semiconductor and Big-Tech Sell-Off Sends U.S. Markets Lower

Overview

• U.S. equity indexes fell with the Nasdaq and S&P 500 posting the biggest losses as technology and semiconductor shares led the retreat.
• The Philadelphia semiconductor index plunged roughly 7.9% and major chip and big-tech names including Nvidia, Intel, AMD and Marvell dropped sharply while memory leaders Micron and SanDisk fell about 13%.
• A BlackRock semiconductor ETF tumbled near 7.9%, highlighting broad selling pressure in the sector.
• Traders pointed to growing worries that hyperscalers are funding large AI investments with debt and to higher odds of another Fed rate increase, a mix that raised volatility and pushed the Cboe VIX higher.
• Markets are now focused on Micron’s upcoming earnings and U.S. PCE inflation data as key tests that could clarify demand for memory chips and influence whether the sector’s repricing continues.