CLThe semiconductor industry, which led the stock market rally driven by artificial intelligence, is showing signs of fatigue. The main semiconductor ETF, SMH, has dropped 12.3% since its peak in 2026, though it hasn't yet crossed the 20% threshold typically defining a bear market. However, internal damage is significant, with half of the analyzed stocks already in negative territory. Analysts note that the correction cannot be seen merely as a pause after a rally, as the sector has lost relative strength compared to the Nasdaq 100 and broader technology indices. While some major companies like AMD and ASML still provide support, others such as Marvell and Intel have experienced substantial declines, with several surpassing the 20% loss mark. The Philadelphia Semiconductor Index (SOX) fell over 20% from its June high, indicating broader pressure on AI-related and chip-linked names.
Bias read (Center): The article presents factual economic data and analyst commentary without overt ideological slant. It reports on market trends, stock performance, and expert opinions without favoring any particular political agenda. The tone remains objective, focusing on financial indicators rather than political,
