Wall Street Weakens, Chip Stocks Under Pressured
The United States stock market closed lower in trading Thursday (16/7), as pressure in the semiconductor sector and geopolitical risks overshadowed positive sentiment from issuers' financial reports. The S&P 500 fell 0.5%, the Nasdaq 100 fell 1.5%, while the Dow Jones corrected 0.2%.
Investors are starting to question whether the valuation of AI-based chip stocks is still in line with very high growth expectations. This concern has caused semiconductor stocks to come under quite deep pressure again.
Micron Technology and AMD each plunged more than 5%. SanDisk slumped more than 12%, Broadcom fell about 5%, while US-listed shares of SK Hynix fell more than 13%.
The pressure also spread to big technology stocks. Alphabet fell more than 4% after reports emerged that the company was delaying the launch of its most advanced AI model, the Gemini 3.5 Pro. Meta Platforms, Nvidia, and Amazon also weakened.
On the other hand, UnitedHealth is one of the barriers to pressure after posting profits above expectations and providing stronger-than-expected 2026 profit projections. Netflix also reported quarterly revenue of US$12.56 billion, up 13% year-on-year, although still slightly below market estimates.
The impact on the market, the weakening of Wall Street shows that investors are starting to be more selective in technology and AI stocks. If pressure in the chip sector continues, the Nasdaq is still at risk of weakening. However, solid financial reports from the health and digital consumption sectors could help prevent the market correction from getting too deep.
Source: Newsmaker.id
