Technology stocks plummeted across the board! U.S. chip and "light" stocks plummeted!
The “AI selling wave” continues to spread. On July 13, Eastern Time, the three major U.S. stock indexes fell across the board. As of the close, the Nasdaq fell 1.55%, the S&P 500 fell 0.79%, and the Dow fell 0.26%. Large technology stocks rose or fell, with Microsoft rising 1.53%, Amazon rising 0.80%, and Apple rising 0.63%; SpaceX fell more than 4%, Nvidia and Tesla fell more than 3%, and Google and Meta fell more than 1%.
The “AI selling wave” continues to spread. On July 13, Eastern Time, the three major U.S. stock indexes fell across the board. As of the close, the Nasdaq fell 1.55%, the S&P 500 fell 0.79%, and the Dow fell 0.26%. Large technology stocks rose or fell, with Microsoft rising 1.53%, Amazon rising 0.80%, and Apple rising 0.63%; SpaceX fell more than 4%, Nvidia and Tesla fell more than 3%, and Google and Meta fell more than 1%. U.S. chip stocks collectively fell sharply. The Philadelphia Semiconductor Index fell 4.78%, Arm fell more than 7%, Intel fell more than 6%, Lam Group and ON Semiconductor fell more than 5%, Micron Technology, AMD, Applied Materials, and Texas Instruments fell more than 4%, and Broadcom and ASML ADRs fell more than 3%. Storage concept stocks also fell sharply across the board, with SanDisk falling more than 12%, SK Hynix ADR falling more than 9%, Seagate Technology falling more than 5%, and Western Digital falling more than 4%. Optical communication concept stocks generally fell. Astera Labs fell by more than 12%, Credo Technology fell by more than 8%, Marvell Technology fell by more than 7%, Applied Optoelectronics fell by more than 6%, Corning and Lumentum Holdings fell by more than 4%. On the news, U.S. President Trump announced that he would resume the blockade of Iranian ports, marking a further escalation of the U.S.-Iran conflict, driving international oil prices to rise sharply, and dampening market risk appetite. The settlement price of WTI crude oil futures closed sharply up 9.42% at US$78.14/barrel; the settlement price of Brent crude oil futures closed at US$83.30/barrel, an increase of 9.59%. The sharp surge in oil prices has further boosted market expectations for the Federal Reserve to raise interest rates. Meanwhile, Federal Reserve Governor Christopher Waller said on Monday that policymakers may need to raise interest rates in the near term if underlying inflation continues to indicate widespread price pressures. "If core inflation surges again this week, the FOMC will need to consider tightening monetary policy in the near term," Waller said in a speech prepared for an event in New York on Monday. Waller emphasized that the U.S. economy is in good shape, the labor market is stable, and consumer demand remains resilient. However, he also pointed out that inflationary pressures caused by tariffs, energy prices and artificial intelligence infrastructure construction have brought monetary policy to a "crossroads." "No matter how you look at it, and whichever metric you use, inflation is rising this year," Waller said. "Right now, I'm worried about the pace of core inflation that remains elevated." He also said he would need to see several months of declining core inflation data to believe prices are moving in the right direction. The above outcome is still a reasonable expectation, and in this case he will support keeping interest rates unchanged. Federal Reserve Chairman Kevin Warsh will appear before Congress for semiannual hearings on Tuesday and Wednesday. By then, lawmakers are expected to focus on asking about the impact of the U.S.-Iran conflict on inflation and the monetary policy path the Federal Reserve may take in the future. LSEG data shows that the market has already priced in expectations of at least a 25 basis point interest rate hike before the end of the year. (