Chip rout deepens as valuations bite and Meta’s AI cloud pivot stirs hope

U.S. chip stocks extended their premarket selloff on Thursday as lofty valuations and ongoing AI spending weigh on sentiment, with Micron and Western Digital down about 2% and peers like Coherent, Marvell, AMD, Intel and Microchip slipping around 1–2%. The broader semiconductors index slid about 6% after Wednesday’s tech retreat, with Micron having tumbled earlier in the week. Meta Platforms rose roughly 8.8% after Bloomberg reported it is exploring a cloud business to monetize excess AI computing capacity, potentially selling access to AI models hosted on its infrastructure or to raw GPU power; Meta also plans up to $145 billion in capex this year to expand data centers. The moves come ahead of the key U.S. jobs report as markets brace for Fourth of July holidays.