Chip stocks lost 12% in two days as profit-taking and mixed signals from Broadcom and SK Hynix rattled the AI trade. Bitcoin fell too.

The PHLX Semiconductor Index sank 12% in two sessions while the Dow hit a record. Investors are rotating from AI chips to software as Q2 earnings approach.

Samsung Electronics prepares to reassure chip investors after Kospi crashes rattled AI stocks and spilled over into Bitcoin and crypto markets.