Chip stocks fell sharply Tuesday, with Broadcom, Intel, and Micron among the
biggest decliners, while the Philadelphia Semiconductor Index dropped 3% after
intraday losses of 6.8%. The selloff followed extraordinary gains in 2026,
driven by AI infrastructure demand. Barry Knapp of Ironsides Macroeconomics said
trimming exposure “after a climb like this is prudent risk management.” Chris
Murphy of Susquehanna called the pullback “way overdue” but expected short-lived
pain. Jonathan Krinsky of BTIG warned the index could fall roughly 20%, while
Rhys Williams of Wayve Capital said “the bulls are in charge until proven
otherwise."
