US chipmakers lose $1.3T in market value amid sector slump
In brief
- US chipmakers lost $1.3T in market value on June 5, 2026; PHLX Semiconductor Index fell 10.3%
- Broadcom's Q3 guidance of $16B missed expectations, triggering sector-wide selloff
- Nvidia, Micron, AMD, Intel, Coinbase, and MicroStrategy all posted steep declines
Semiconductor Carnage
Nvidia shed more than $300 billion in market value, representing a roughly 6% decline. Micron took the hardest hit among major names, plunging 13%. Broadcom stock dropped between 6% and 8%, while AMD dropped roughly 8% to 11% and Intel slid approximately 8%. Marvell fell between 8% and 17% during the rout.
The selloff wasn't driven by weak fundamentals across the board. Broadcom reported Q2 AI semiconductor revenue of $10.8 billion, representing 143% year-over-year growth. The problem: Broadcom's Q3 guidance came in at $16 billion, a figure that fell short of what the market had priced in. Investors had expected more. When a company posts triple-digit growth and still disappoints, it tells you expectations have drifted into territory that's hard to meet.
Crypto Follows the Wreckage
The Nasdaq posted its largest daily drop since April 2025. Bitcoin and related equities declined in tandem with chip stocks. Around $130 billion was wiped from the cryptocurrency market during the selloff.
Coinbase and MicroStrategy, two of the most prominent crypto-adjacent public companies, both saw significant losses. The correlation underscores how tightly digital assets have become tethered to broader equity markets—especially tech and growth-sensitive sectors. When macro headwinds blow through semiconductors, crypto doesn't get a pass.
