The semiconductor sector just had the kind of day that makes portfolio managers stare at their screens and quietly close their laptops. US-listed chipmakers shed approximately $1.3 trillion in market capitalization on June 5, 2026, a wipeout that rippled through every corner of the risk asset universe, crypto included.
The PHLX Semiconductor Index, better known as the .SOX, cratered 10.3%. That marks its steepest single-session decline since March 2020, when the pandemic was busy rewriting the rules of global commerce. The Nasdaq, meanwhile, posted its largest daily drop since April 2025.
Broadcom’s guidance problem
The company reported Q2 AI semiconductor revenue of $10.8 billion, representing 143% year-over-year growth. Broadcom’s Q3 guidance came in at $16 billion, a figure that fell short of what the market had priced in.
Broadcom stock dropped between 6% and 8% in the session. Nvidia shed more than $300 billion in market value, a roughly 6% decline. Micron took the hardest hit among major names, plunging 13%. Marvell fell between 8% and 17%, AMD dropped roughly 8% to 11%, and Intel slid approximately 8%.
