Chip Stocks Plunge, Volatility Rises, Market Uncertainty Grows

Semiconductor stocks, which are the companies that make computer chips, fell a lot in July.

The index that tracks 30 big chip makers dropped 21%, the biggest fall since 2008.

Prices jumped up and down a lot every day, more than any time since 2020.

People are worried that the big money being spent on artificial intelligence might not keep going.

Some big chip makers like TSMC, Micron, and Intel lost billions of dollars in value.

Even though the market is shaky, some investors are still buying chips because they think the companies can make a lot of money in the future.

Retail investors put a record $12 billion into chip ETFs last week.

Analysts say the future of chip stocks is uncertain, but the industry still expects strong earnings from companies like Nvidia and Broadcom.