AI STOCKS SUFFER SELLOFF AS INVESTORS ROTATE OUT OF TECH TRADE

What happened: AI-linked stocks sold off as investors rotated into blue-chip companies and government bonds. The PHLX Semiconductor Index fell about 2 percent on Oct. 15 and is down almost 10 percent over the past week. Key numbers: PHLX Semiconductor Index down about 2 percent on Oct. Why it matters: Analysts cited fragile expectations about whether AI spending persists through 2027 and beyond, plus red-hot wholesale inflation data that pushed investors to safety. LPL's Adam Turnquist said Korea's memory exposure leaves it vulnerable to competitive threats and positioning unwinds. Coverage: 3 outlets in 24h

AI-linked stocks sold off as investors rotated into blue-chip companies and government bonds. The PHLX Semiconductor Index fell about 2 percent on Oct. 15 and is down almost 10 percent over the past week.

Analysts cited fragile expectations about whether AI spending persists through 2027 and beyond, plus red-hot wholesale inflation data that pushed investors to safety. LPL's Adam Turnquist said Korea's memory exposure leaves it vulnerable to competitive threats and positioning unwinds.