Chip stocks drop as semiconductor rally cools, Intel and Qualcomm lead losses.

Chip stocks fell sharply after weeks of gains, signaling a cooling in the semiconductor rally. Intel dropped as much as 11% before closing down 6.8%, while Qualcomm fell 11.5%. Nvidia was an exception, rising slightly by 0.6%. The PHLX Semiconductor Index (SOX) declined 3%, reflecting broader weakness in the sector. This shift may indicate investor caution or profit-taking after recent strong performance in chip stocks.