{"id":469748,"date":"2022-07-01T23:46:00","date_gmt":"2022-07-01T20:46:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/chip-sector-drops-nearly-10-on-week-as-micron-outlook-points-to-declining-demand\/"},"modified":"2022-07-01T23:46:00","modified_gmt":"2022-07-01T20:46:00","slug":"chip-sector-drops-nearly-10-on-week-as-micron-outlook-points-to-declining-demand","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/chip-sector-drops-nearly-10-on-week-as-micron-outlook-points-to-declining-demand\/","title":{"rendered":"#: Chip sector drops nearly 10% on week as Micron outlook points to declining demand"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3f3be6e2b77\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3f3be6e2b77\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/chip-sector-drops-nearly-10-on-week-as-micron-outlook-points-to-declining-demand\/#%E2%80%9C_Chip_sector_drops_nearly_10_on_week_as_Micron_outlook_points_to_declining_demand%E2%80%9D\" >&#8220;: Chip sector drops nearly 10% on week as Micron outlook points to declining demand&#8221;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/chip-sector-drops-nearly-10-on-week-as-micron-outlook-points-to-declining-demand\/#Suppliers_to_chip_industry_hit_hardest_following_Micron_outlook\" >Suppliers to chip industry hit hardest following Micron outlook<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/chip-sector-drops-nearly-10-on-week-as-micron-outlook-points-to-declining-demand\/#Wallace_Witkowski\" >Wallace Witkowski<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9C_Chip_sector_drops_nearly_10_on_week_as_Micron_outlook_points_to_declining_demand%E2%80%9D\"><\/span>&#8220;: Chip sector drops nearly 10% on week as Micron outlook points to declining demand&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Suppliers_to_chip_industry_hit_hardest_following_Micron_outlook\"><\/span>\n  Suppliers to chip industry hit hardest following Micron outlook<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div id=\"cx-next\" data-nosnippet>\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000997520\" role=\"document\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div data-layout=\"\n                inline\" data-layout-mobile=\"\" class=\"\n          media-object\n          type-InsetArticleReader\n              \n              inline\n  article__inset\n          article__inset--type-InsetArticleReader\n              article__inset--inline\n  \"><\/p>\n<div class=\"media-object-article-reader\">\n<div class=\"audioplayer\" data-sbid=\"WP-MKTW-0000997520\" role=\"region\" aria-label=\"Listen to Article\" tabindex=\"-1\" id=\"articlereader\" data-show-title=\"false\" data-theme=\"wsj-article-reader\" data-show-header=\"false\" data-show-subscribe=\"false\" data-ads-enabled=\"true\" data-save-publication=\"false\">\n        <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       The semiconductor sector logged one of its worst weeks in an already lousy year following more evidence that the COVID-19 chip sector boom was drawing to a close. <\/p>\n<p> On Friday, the PHLX Semiconductor Index<br \/>\n        SOX,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210598361\/realtime\" class=\"negative\">-3.83%<\/bg-quote><br \/>\n       dropped as much as 5%, and finished the session down 3.8%, as chip stocks fell across the board. Shares of chip-equipment maker Lam Research Corp.<br \/>\n        LRCX,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/208077897\/composite\" class=\"negative\">-7.35%<\/bg-quote><br \/>\n       led decliners falling 7.3%, with NXP Semiconductors NV<br \/>\n        NXPI,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/202999625\/composite\" class=\"negative\">-1.31%<\/bg-quote><br \/>\n       the sector\u2019s best performer with a 1.3% loss on the day.<\/p>\n<div class=\"paywall\">\n       That gave the SOX index its second worst week of the year with a 9.6% drop, the sector\u2019s worst performing week since the week ending Jan. 21, when the index fell 11.9%, according to FactSet data. The chip index is already down 37.7% for 2022, compared with a 19.7% loss on the S&amp;P 500 index<br \/>\n        SPX,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210599714\/realtime\" class=\"positive\">+1.06%<\/bg-quote><br \/>\n       and a 28.9% drop on the tech-heavy Nasdaq Composite Index<br \/>\n        COMP,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210598365\/realtime\" class=\"positive\">+0.90%<\/bg-quote><span>.<\/span>\n      <\/p>\n<p>Late Thursday, Micron <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">Technology<\/a> Inc.<br \/>\n        MU,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/205710729\/composite\" class=\"negative\">-2.95%<\/bg-quote><br \/>\n       stoked Wall Street fears that customers may have loaded up on chips during the COVID-19-triggered shortage, and were now holding significant inventories, after the memory-chip maker forecast quarterly sales that were more than $1.5 billion below expectations. Analysts on Friday wondered if weakness in the PC and consumer markets could also extend to data-center sales. Micron shares finished down 3% Friday.<\/p>\n<p><strong>Read: <\/strong>The chip boom likely over, as Micron says it\u2019s in a \u2018downturn\u2019<\/p>\n<p>Heading into Micron\u2019s earnings, analysts were looking for more clues as to whether chip demand had peaked given the pessimism about the sector that Wall Street has held over the year. <\/p>\n<p>What the industry and Wall Street want to avoid is a situation like 2018, when chip prices soared, along with chip-maker stock prices, and customers double- and <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/trip-and-travel\/\" data-internallinksmanager029f6b8e52c=\"10\" title=\"Trip &amp; Travel\" target=\"_blank\" rel=\"noopener\">trip<\/a>le-bought chips to lock in prices before they could shoot any higher. As a result, sales eventually cratered and chip makers were stuck with huge inventories that took months to unload. Given that chip makers reported record sales in 2021, and their stocks reached record highs late in the year, investors are being extra cautious this time around.<\/p>\n<p>Like Lam, suppliers to the chip-making industry were hit the hardest Friday with shares of KLA Corp.<br \/>\n        KLAC,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/209248041\/composite\" class=\"negative\">-7.15%<\/bg-quote><br \/>\n       finishing down 7.2%, <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">App<\/a>lied Materials Inc.<br \/>\n        AMAT,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/209393259\/composite\" class=\"negative\">-5.18%<\/bg-quote><br \/>\n       down 5.2%, and ASML Holding NV<br \/>\n        ASML,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210293876\/composite\" class=\"negative\">-5.47%<\/bg-quote><br \/>\n       off 5.5%. This past earnings season\u00a0Applied Materials,\u00a0ASML,\u00a0Lam,\u00a0and\u00a0KLA all lamented that continuing supply-chain issues were hurting sales.<\/p>\n<p>Next, were shares of third-party fab giant Taiwan Semiconductor Manufacturing Co.<br \/>\n        TSM,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/204359850\/composite\" class=\"negative\">-5.81%<\/bg-quote><span>,<\/span><br \/>\n       which closed down 5.8%.<\/p>\n<p>Meanwhile, shares of Nvidia Corp.<br \/>\n        NVDA,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/200467500\/composite\" class=\"negative\">-4.20%<\/bg-quote><br \/>\n       fell 4.2% Friday, while Advanced Micro Devices Inc.<br \/>\n        AMD,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/208144392\/composite\" class=\"negative\">-3.66%<\/bg-quote><br \/>\n       declined 3.7%, Texas Instruments Inc.<br \/>\n        TXN,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/202237907\/composite\" class=\"negative\">-3.33%<\/bg-quote><br \/>\n       declined 3.3%, Qualcomm Inc.<br \/>\n        QCOM,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/206679220\/composite\" class=\"negative\">-3.30%<\/bg-quote><br \/>\n       fell 3.3%, GlobalFoundries Inc.<br \/>\n        GFS,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/230483311\/composite\" class=\"negative\">-3.79%<\/bg-quote><br \/>\n       declined 3.8%, Intel Corp.<br \/>\n        INTC,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/203649727\/composite\" class=\"negative\">-2.86%<\/bg-quote><br \/>\n       shares declined 2.9%,  Marvell Technology Inc.<br \/>\n        MRVL,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/200053236\/composite\" class=\"negative\">-2.25%<\/bg-quote><br \/>\n       shares fell 2.3%, and Broadcom Inc.<br \/>\n        AVGO,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/200646538\/composite\" class=\"negative\">-1.64%<\/bg-quote><br \/>\n       shed 1.6%.<\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>In comparison, the S&amp;P 500 closed up 1.1% and the Nasdaq finished up 0.9% Friday.<\/p>\n<p>Additionally, the sector was under pressure as Senate Republican leader Mitch McConnell threatened to derail a bill for $52 billion in funds earmarked to build up U.S. semiconductor manufacturing if Democrats revived their stalled climate and <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">social<\/a> policy package.<\/p>\n<p>For the year, some of the worst performers on the SOX index include Marvell with a 51.4% drop, Nvidia down 50.6%, AMD down 48.8%, Applied Materials down 45.2%, Lam down 45.1%, ASML down 43.5%, and Micron down 42.4%.<\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>    <span>By<\/span><\/p>\n<div class=\"author mobile-scrim hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Wallace Witkowski\",\"subhead\":\"The Wall Street Journal\",\"list\":[{\"type\":\"link\",\"icon\":\"bio\",\"url\":\"https:\/\/www.marketwatch.com\/topics\/journalists\/wallace-witkowski\",\"text\":\"Biography\"},{\"type\":\"link\",\"icon\":\"twitter\",\"url\":\"https:\/\/twitter.com\/wmwitkowski\",\"text\":\"@wmwitkowski\"},{\"type\":\"link\",\"icon\":\"email\",\"url\":\"http:\/\/www.marketwatch.com\/news\/mailto:wwitkowski@marketwatch.com\",\"text\":\"wwitkowski@marketwatch.com\"}]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Wallace_Witkowski\"><\/span>Wallace Witkowski<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p><ufc-follow-author-widget product=\"marketwatch\" author-id=\"202_MW\" author-name=\"Wallace Witkowski\" signin-url=\"https:\/\/accounts.marketwatch.com\/login?target=https%3A%2F%2Fwww.marketwatch.com%2Fstory%2Fchip-sector-looks-at-10-drop-on-week-as-signs-point-to-declining-demand-11656701623%3Frss%3D1%26siteid%3Drss\" panda-api=\"https:\/\/follow-api.marketwatch.com\"><\/ufc-follow-author-widget><\/p><\/div>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. 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On Friday, the&#8230;<\/p>\n","protected":false},"author":1,"featured_media":469749,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.mktw.net\/im-560375\/social","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-469748","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/469748","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=469748"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/469748\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/469749"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=469748"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=469748"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=469748"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}