AI and chip stocks under stress as credit and capex worries grow
Semiconductor stocks are deeply oversold and chip credit spreads have widened, while analysts question AI capex and CoreWeave's debt.
What we know
A markets commentator notes the SOX fell 17% below its 200-day average, the largest such gap since April 2025. Market news accounts report chip CDS widened beyond hyperscalers for the first time. An analyst quotes MoffettNathanson saying CoreWeave's parent debt yields about 16% while the stock is worth $30B, and Rob Arnott warns of possible half-trillion-dollar write-offs. BTIG reportedly sees 73% odds of another selloff. Meanwhile the Senate voted 73-25 to advance a permitting bill supportive of data centers.
By the Global Eye 24 desk, with AI assistance. Updated as the story develops. Spot an error? Write to corrections@globaleye24.com.