Analysis: Rate Hike Expectations Coupled with Capital Rotation, Tech Leaders Lead Decline in U.S. Stock Market

Odaily Odaily Stock News On Friday, the three major U.S. stock indexes opened lower, with tech stocks falling across the board. The Philadelphia Semiconductor Index dropped more than 20% from its historical closing high, on track to confirm a bear market. SK Hynix's ADR fell below its $149 issuance price for the first time. SpaceX's stock price has fallen 38% from its peak, with its market capitalization on track to evaporate approximately $1 trillion from its peak. AMD fell over 7%, Intel dropped over 6%, and TSMC declined over 5%. Some analysts state that the ongoing pullback in chip stocks has transcended fundamental factors and is more influenced by a shift in capital styles and market preference rotation.

Furthermore, Federal Reserve Chair Powell's dissatisfaction with inflation during the hearing has increased market expectations for a rate hike. "Hawkish" signals released by other Fed officials have also exacerbated market nervousness. Among them, Fed's Logan has explicitly called for a rate hike; Fed's Schmid warned that the risk of further acceleration in inflation in the coming months remains. In terms of geopolitical situation, the prospects of a US-Iran war remain uncertain, dampening market risk appetite. (Jinshi Data)