Global semiconductor and associated stocks fell on Wednesday, following a steep plunge in Nvidia\u2019s share price in the U.S. overnight.<\/p>\n\n\n\n
In the U.S., chipmaker Nvidia<\/a> plunged more than 9% in regular trading, leading semiconductor stocks lower amid a sell-off on Wall Street<\/a>. Economic data published Tuesday resurfaced jitters about the health of the U.S. economy. Nvidia shares continued sliding in post-market trading Tuesday, falling 2%, after Bloomberg reported<\/a> that the company received a subpoena<\/a> from the Department of Justice as part of an antitrust investigation.<\/p>\n\n\n\n Around $279 billion of value was wiped off of Nvidia on Tuesday, in the biggest one-day market capitalization drop for a U.S. stock in history. The previous record was held by Facebook-parent Meta, which suffered a $232 billion fall in value in a day in February 2022.<\/p>\n\n\n\n Nvidia\u2019s value chain extends to South Korea, namely, memory chip maker SK Hynix and conglomerate Samsung Electronics.<\/p>\n\n\n\n Samsung shares closed 3.45% lower, while SK Hynix, which provides high bandwidth memory chips to Nvidia<\/a>, slid 8%.<\/p>\n\n\n\n Tokyo Electron<\/a> dropped 8.5%, while semiconductor testing equipment supplier Advantest<\/a> shed nearly 8%.<\/p>\n\n\n\n Japanese investment holding company SoftBank Group<\/a>, which owns a stake in chip designer Arm<\/a>, fell 7.7%.<\/p>\n\n\n\n Contract chip manufacturer Taiwan Semiconductor Manufacturing Company<\/a> declined more than 5%. TSMC manufactures Nvidia\u2019s high-performance graphics processing units which power large language models \u2014 machine learning programs that can recognize and generate text.<\/p>\n\n\n\n Taiwan\u2019s Hon Hai Precision Industry<\/a> \u2014 known internationally as Foxconn \u2014 lost nearly 3%. It has a strategic partnership with Nvidia.<\/p>\n\n\n\n The selling in Asia filtered through to European semiconductor stocks. Shares of ASML<\/a>, which makes critical equipment to manufacture advanced chips, fell 5% in early trade. Other European names such as ASMI<\/a>, Be Semiconductor<\/a> and Infineon<\/a>, were all lower.<\/p>\n\n\n\n