Qualcomm is one of the largest semiconductor companies that manufactures chipsets.
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Chip stocks fell on Tuesday, retreating from the massive rally that took artificial intelligence trading to the world. Nvidia and propelled the sector to new heights.
Qualcomm It plunged 13%, its worst trading performance since 2020. intel Although it decreased by 8%, ON Semiconductor and skyworks solutions Each decreased by more than 6%. of iShares Semiconductor ETF Tracking the sector, it fell 5%.
Tuesday’s decline came after a key consumer inflation measure showed more enthusiasm than expected as the Iran war sent oil prices higher and investors into risk-off mode.
The recent rally has expanded the scope of AI trading beyond Nvidia, the semiconductor manufacturing powerhouse that has almost single-handedly pushed its stock to new highs for years.
Demand for central processing units to support large language models and corresponding graphics processing units has skyrocketed, pushing chip inventories to record levels.
Investors expect the shift from AI training to agents to drive demand for other AI components. That includes memory chip makers who are raising prices amid continued supply shortages.
micron technology Although it decreased by 6%, sandisk It fell 8%. SanDisk stock has increased more than sixfold since the beginning of the year.
