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Chip stocks decline amid AI setback
This week, shares of global chip companies experienced a sharp decline, with the largest firms losing more than one trillion dollars in market value. This followed a strong rally that lasted for months, during which the sector benefited from massive investments in artificial intelligence. Nvidia was the most affected, losing approximately 238 billion dollars, followed by X.K. Hynix and Samsung Electronics. Meanwhile, the technology stock indexes in Asia and Europe also declined, reflecting a psychological setback rather than a deterioration of fundamentals. Some investors considered the current valuations to be more attractive after the correction.
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