Shares of semiconductor leaders Taiwan Semiconductor Manufacturing (NYSE: TSM), Micron Technology (NASDAQ: MU), and ASML Holdings (NASDAQ: ASML) were all down again today, falling 4.2%, 4.1%, and 5.2%, respectively, as of 12:38 p.m. ET.

It was a terrible week for stocks generally and the artificial intelligence (AI) trade specifically, mostly due to macroeconomic concerns. Of note, the semiconductor industry has long been regarded as highly cyclical. While the sector has actually been the best-performing over the last decade due to its outsize long-term growth, the prospect of a slowdown or recession is causing investors to flee these industry leaders at the moment. This is especially true after artificial intelligence enthusiasm has lifted shares of these stocks by a large amount since November 2022 through July 2024.

It appears that a combination of today's weaker-than-expected jobs report, along with AI tech peer Broadcom's mildly disappointing earnings report last night, are causing shares of all closely related AI-focused stocks to fall again today.

Continue reading

Source Fool.com