Global tech stocks fall as chip sell-off deepens; Burberry sales boosted by gen Z shoppers - business live
Global tech stocks, particularly in the semiconductor sector, experienced a significant sell-off due to investor concerns over AI-driven market sustainability. Meanwhile, fashion retailer Burberry reported a 5% sales increase, bolstered by strong performance among Gen Z consumers.
Why it matters
The volatility in chip stocks reflects broader market anxiety regarding the valuation of AI-related investments and global economic stability.
Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy.
It’s been a brutal 24 hours for some of the world’s biggest tech stocks, with markets in Asia falling today as a sell-off in US chip and memory stocks spread overnight.
Japan’s Nikkei 225 index dropped almost 5%, with the Japanese chipmaker Kioxia slumping 16%. The Chinese SSE Composite is down 3.3%. Markets in South Korea, which have been extremely sensitive to the chip sell off, are closed today.
It follows steep falls in memory and computer storage makers in the US yesterday, with Sandisk , Western Digital and Seagate all down more than 9%. Chip companies Intel and Micron both fell by about 6%.
The sell-off comes as investors grow increasingly nervous about whether the AI-driven rally in the market this year is sustainable.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in