December Nasdaq 100 E-Mini futures (NQZ26) are down -0.72% this morning as investors continued to ditch chipmakers amid mounting worries about the AI trade.
The global rout in AI-related stocks deepened on Tuesday. Memory-chip makers SK Hynix and Samsung Electronics slumped more than -10% and -7% in Seoul, respectively, extending yesterday’s losses amid worries about intensifying competition from China. Over the weekend, CXMT unveiled a new chip structure featuring a roughly 30% smaller cell area and said it plans to launch a server-memory product using the new design by year-end. Also dampening sentiment toward the AI trade, Broadcom CEO Hock Tan said on Monday that many AI investors “have no clue what they are investing in,” adding that they had “extreme expectations only to find out that it’s almost like they are in a casino.” U.S. chip and AI infrastructure stocks slid in pre-market trading.
