Chip stocks fell again in premarket trading on Tuesday, with SK Hynix plunging nearly 15% and US names including Micron and Nvidia dropping as a semiconductor sell-off deepened following another weak Wall Street session.
Key facts
- Semiconductor stocks fell in premarket trading on Tuesday.
- SK Hynix plunged nearly 15%.
- Micron and Nvidia shares also fell.
- The move extended a rout in chipmakers after a weak Wall Street session.
Semiconductor stocks fell in premarket trading on Tuesday, extending a rout in chipmakers, according to CNBC. The declines followed another weak session on Wall Street, adding to pressure across the sector.
At the center of the move was SK Hynix, which plunged nearly 15%, according to CNBC’s reporting. The sharp drop in the South Korean memory chipmaker helped set the tone for the broader sell-off.
US-listed chip names were also caught up in the decline. Micron and Nvidia both fell in premarket trading, CNBC reported, as the sell-off spread across the industry.
CNBC described the moves as a deepening sell-off, indicating the losses built on earlier weakness rather than marking an isolated session. The report tied the premarket declines directly to the prior weak session on Wall Street.
The source material does not provide specific price levels, percentage moves for Micron or Nvidia, or a stated cause for the broader weakness beyond the continuation of the rout in chipmakers.
Why it matters
Semiconductors are a bellwether for the technology sector and the broader market, so a deepening sell-off can signal shifting investor sentiment toward chipmakers. Declines in heavyweight names like Nvidia and Micron can weigh on major indexes and affect a wide range of investors.
Frequently asked questions
How much did SK Hynix fall?
According to CNBC, SK Hynix plunged nearly 15%.
Which US chip stocks were affected?
CNBC reported that Micron and Nvidia both fell in premarket trading on Tuesday.
What triggered the premarket declines?
CNBC said the drop extended a rout in chipmakers after another weak session on Wall Street. The source does not detail a specific underlying cause.