Semiconductor ETFs Enter Bear Market as Post-Midterm Fears Trigger Historic Selloff
The iShares Semiconductor ETF (SOXX) suffered its worst intraday decline since March 2020 on Nov. 5, dropping 12.1% as investors reacted to Democratic midterm victories. The fund is now down 30% in a month and 38% from its 52-week high, entering a bear market. While some view this as an overreaction to political rhetoric, others cite specific corporate weaknesses, including a 26% drop in Qualcomm smartphone sales and a 17% plunge in Micron shares due to memory chip concerns.