Shares of top semiconductor outfit Advanced Micro Devices (NASDAQ: AMD) were down 6% today as of 3:40 p.m. EST. The scrappy chip designer is still up some 33% in the last month, though.
The catalyst for the sell-off seems to be inflation, which hit growth stocks of all sorts today. Specifically, data released by the U.S. Department of Labor showed the consumer price index surged 6.2% year over year in the month of October, ahead of the 5.9% consensus expectation among economists. Inflation can weaken the value of a company's long-term profitability if it can't keep up with increased costs of production, materials, shipping, etc.
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Source Fool.com