Semiconductor stocks surged despite broader market declines after SK Hynix’s $24.5bn ADR offering and China’s Nvidia H200 chip approvals.
The S&P 500 fell 0.28% amid stagflation concerns, with 78% of the index posting losses. Most industry groups declined, but semiconductor stocks bucked the trend, led by the Philly semiconductor index rising 2.23%.
SK Hynix’s US ADR offering was oversubscribed seven times, aiming to raise nearly $24.5bn, marking the second-largest debut for a foreign company after Alibaba’s $25bn IPO. Reports also indicated China may permit domestic AI firms to purchase Nvidia’s H200 chips, further supporting chip stocks.
Outside semiconductors, only Tech Hardware, Energy, and Consumer Staples sectors posted gains, while the IBEX 35 underperformed with a 2.73% drop, compared to the STOXX 600’s 1.61% decline.