Semiconductor Index SOX Posts Longest Losing Streak Since 2008 Amid Deepening AI & Debt Concerns

The Philadelphia Semiconductor Index (SOX) recorded its longest losing streak since 2008, falling for eight consecutive sessions and dropping 16% since October 6th . The selloff, which saw all 30 constituents decline, is driven by growing investor concerns over AI spending sustainability, rising financing costs, and elevated valuations .

Key points:

• SOX index fell 3.83% on Friday, extending losses to 8 sessions.
• Individual stocks like AVGO, MU, AMD, INTC, LRCX, KLAC, and ARM dropped around 5-7% .
• CoreWeave (CRWV) shares slumped 12%, with bond yields surging above 15% .
• Hotter-than-expected US inflation is increasing the cost of capital for AI infrastructure investments .

This signals a significant shift in sentiment for the previously booming AI chip sector.