Micron’s weaker earnings outlook and broader chip sector sell-off push AI-related stocks lower, dragging the NASDAQ 100 down 2.6%.
AI-related stocks led declines on Tuesday, pulling the NASDAQ 100 down 2.6% as Micron’s softer earnings outlook dampened sentiment. The drop followed a 10% sell-off in South Korea’s KOSPI, driven by memory chip giants SK Hynix and Samsung Electronics.
Bank of America highlighted positive AI visibility through 2028, but near-term concerns overshadowed the outlook. The tech sector’s pullback mirrored broader weakness in global chip demand, with memory stocks particularly vulnerable.
No immediate market reaction details were provided, though the decline reflected investor caution amid mixed signals on AI-driven growth.