Technology stocks are plunging around the world with the Nasdaq Composite index in the U.S. down nearly 1,000 points on June 23.
The rout in tech stocks began on June 22 and accelerated overnight, with markets in Asia crumbling as memory chip stocks fall sharply.
The Nasdaq is down 860 points, or nearly 3%, in premarket trading as leading technology stocks such as Micron Technology (MU), Alphabet (GOOGL) and Amazon (AMZN) decline.
Overseas, South Korea’s Kospi index is down 10% as memory chip leader SK Hynix, which has led a speculative artificial intelligence (A.I.) frenzy, dropped more than 12%.
Japan’s Nikkei 225 index declined 3.55%, breaking eight sessions of gains and falling from record levels reached earlier in June.
Memory chip stocks are also falling in the U.S., with shares of Micron down 9% in premarket trading on June 23. SanDisk (SNDK) is also down 9% in early trading.
Stocks of more traditional microchip companies are pulling back as well, with Intel (INTC), Advanced Micro Devices (AMD), and Qualcomm (QCOM) each down more than 5%.
Shares of Elon Musk’s SpaceX (SPCX) also continue their post-IPO slide, with the shares down another 3% in premarket trading, putting the stock on pace for a fourth losing session.
In Europe, the Stoxx 600 Technology index is down 3% on the day, with Dutch semiconductor equipment maker ASML Holding (ASML) decreasing more than 6%.
With technology stocks plunging, defensive-oriented stocks are moving higher. Shares of companies such as Walmart (WMT) and Costco (COST) are on the rise.
Also, the Russell 2000 index of small-cap stocks closed above 3,000 for the first time on June 22 and is up 20% on the year, leading all other U.S. indices.
