Nvidia<\/a>, Micron Technology and Advanced \u200cMicro Devices, as Broadcom’s weak report earlier this week reverberated across Wall Street.<\/p>\nThe PHLX \u200bchip index slumped almost 8.5% in afternoon trading, putting it on track for its deepest one-day loss since Wall Street’s “Liberation Day” tariff selloff in April 2025.<\/p>\n
Friday’s selloff added to losses on Thursday after Broadcom gave a \u200cquarterly report that showed \u2060demand for its custom AI chips business falling short of lofty expectations.<\/p>\n
The PHLX’s combined loss of more than \u206010% over two sessions shows investors are becoming more concerned about pricey, high-flying tech stocks just as Elon Musk prepares a blockbuster initial \u200bpublic offering \u200bnext week for SpaceX at an \u200bexceedingly high $1.75 trillion valuation.<\/p>\n
Even after \u200cFriday’s losses, the PHLX chip index remains up 75% year to date.<\/p>\n
Nvidia, the world’s most valuable chipmaker, fell about 6%, cleaving more than $300 billion from its market capitalization.<\/p>\n
Micron Technology tumbled 11%, evaporating $127 billion in market value. Recent investor darling Marvell Technology gave back 12%, while AMD \u200clost 10.5%.<\/p>\n
“You’ve had a lot of people \u200bhere that were just blindly buying \u200bthe dip,” said Dennis Dick, \u200ba proprietary trader at Triple D Trading. “Blindly buying \u200cthe dip had been winning you \u200bmoney, but that \u200bended today.”<\/p>\n
Worries about higher interest rates also spooked investors across the U.S. stock market following stronger-than-expected jobs data, and the S&P \u200b500 was down 2.3%.<\/p>\n
One \u200cof the biggest beneficiaries of the AI race, Broadcom, was \u200blast down 7.5%, bringing its two-day loss to 19%.<\/p>\n
(Reporting \u200bby Noel RandewichEditing by Rod Nickel)<\/p>\n","protected":false},"excerpt":{"rendered":"By Noel Randewich June 5 (Reuters) – U.S.-traded chipmakers plunged on Friday, losing over $1 trillion in market…\n","protected":false},"author":2,"featured_media":718218,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[28014,45,49,48,259953,31254,21666,40692,6494,259952,251574,121],"class_list":["post-718217","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-broadcom","tag-business","tag-ca","tag-canada","tag-heavy-hitters","tag-market-capitalization","tag-market-value","tag-micron-technology","tag-nvidia","tag-phlx","tag-quarterly-report","tag-stock-market"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/718217","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=718217"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/718217\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/718218"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=718217"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=718217"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=718217"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}