Wall Street witnessed a significant downturn in semiconductor stocks Tuesday, impacting major AI beneficiaries. Memory chipmakers like SanDisk and Micron saw substantial drops as investors re-evaluated high valuations amid escalating AI spending. This correction, also affecting broader tech, signals growing caution about the speed of returns from massive AI investments, prompting some to secure profits.

Wall Streets AI-driven technology rally faced pressure as investors questioned whether rising infrastructure spending can generate sufficient returns. While hyperscalers such as…

Wall Street witnessed a significant downturn in semiconductor stocks Tuesday, impacting major AI beneficiaries. Memory chipmakers like SanDisk and Micron saw substantial drops as…