Nasdaq Drops 3% as Chip Stocks Slide Again and $1.75 Trillion SpaceX IPO Looms
Updated
Updated · CNBC · Jun 8
Nasdaq Drops 3% as Chip Stocks Slide Again and $1.75 Trillion SpaceX IPO Looms
2 articles · Updated · CNBC · Jun 8
Summary
U.S. stocks sold off Tuesday, with the S&P 500 down 1.7% and the Dow off 354 points as the session's early lift from cheaper oil faded.
Chip shares drove the decline after Monday's rebound fizzled: the iShares Semiconductor ETF fell nearly 7%, Micron lost almost 8%, and Broadcom dropped 5%.
Investor nerves centered on whether the AI trade has run too far, too fast, with some traders also bracing for SpaceX's Friday debut at a $1.75 trillion valuation.
WTI crude still fell 5% to about $86 after U.S. officials pointed to improving Strait of Hormuz traffic and Trump said a U.S.-Iran deal could reopen the route within days.
That oil retreat helped materials, consumer discretionary and real estate, but it was not enough to offset renewed pressure on AI-linked stocks despite OpenAI's confidential IPO filing.