US AI hardware supply chain takes a broad hit, Philadelphia Semiconductor Index falls over 7%

The Philadelphia Semiconductor Index fell 7.25% as a broad selloff hit the U.S. AI hardware supply chain, with chip, memory, semiconductor equipment and optical communications stocks all posting steep declines. AMD dropped 12.94%, Nvidia 5.33%, TSMC 6.99%, Broadcom 5.35%, Intel 8.12%, Qualcomm 9.00% and Arm 10.65%. Memory and storage names were hit hardest, with SanDisk down 13.77%, Western Digital 12.78%, Seagate 12.74%, Micron 10.78% and SK Hynix 9.41%. Equipment and optical names also slumped, including Marvell 10.03%, Lumentum 12.21%, Coherent 10.53%, Applied Materials 7.15%, Lam Research 8.66% and ASML 5.98%. The scale of the decline signals investors are reassessing AI hardware valuations across the entire supply chain rather than isolating a single segment.