Why it matters
- The PHLX Semiconductor index fell 12.25% to 9,011.14 on Thursday, Nov. 5, Yahoo Finance data show. In 10 years of daily data, only Monday, March 16, 2020, was worse, at -15.90%.
- The index is now 38.4% below its June 22 record close of 14,634.72. That is deeper than its 35.0% fall in early 2020, close to its 39.7% slide in 2024–25 and short of its 46.5% drop in 2021–22, by Global Terminal's calculation.
- It is still up 27.2% in 2026, from 7,083.13 at the end of 2025, after more than doubling from its 2025 close to its June peak.
Analysis: this piece includes our interpretation of the facts reported.
The PHLX Semiconductor index fell 12.25% to 9,011.14 on Thursday, Nov. 5, its second-worst day in 10 years of daily data, Yahoo Finance data show. The drop left the index 38.4% below its June 22 record close, a deeper fall than its 35.0% slide in the 2020 Covid crash, by Global Terminal's calculation.
CNBC tied the selloff to fears of a slowdown in data center building after Democrats swept both chambers of Congress, and to Sen. Bernie Sanders' call for a national data center moratorium. Micron and AMD each fell about 15%, Broadcom about 10% and Nvidia about 9%, CNBC reported. This analysis puts the chip index's slide in historical context.
How bad was Thursday for chip stocks?
It was the index's worst day since March 2020. Over 10 years of Yahoo daily closes, only March 16, 2020, when the index fell 15.90%, was worse. Just four days in that period saw drops of 10% or more, and two came this year: Thursday, Nov. 5, and Friday, June 5, when it fell 10.26%.
The selloff built over two days. The index lost 15.0% from Tuesday's close of 10,600.40. It has fallen on 11 days of 5% or more in 2026, out of 213 trading days, Yahoo data show.
How does this drawdown compare with past chip-stock slumps?
It is now one of the deepest in a decade. The table shows the largest peak-to-trough falls in each episode, measured on daily closes.
| Episode | Peak close | Low close | Decline |
|---|---|---|---|
| 2020 Covid crash | 1,979.50 (Feb. 19, 2020) | 1,286.84 (March 18, 2020) | -35.0% |
| 2021–22 bear market | 4,039.51 (Dec. 27, 2021) | 2,162.32 (Oct. 14, 2022) | -46.5% |
| 2024–25 slide | 5,904.54 (July 10, 2024) | 3,562.94 (April 8, 2025) | -39.7% |
| 2026, so far | 14,634.72 (June 22, 2026) | 9,011.14 (Nov. 5, 2026) | -38.4% |
Source: Yahoo Finance daily closes for the PHLX Semiconductor index (^SOX). Declines are Global Terminal calculations.
The 2020 slide took about a month. This one has run more than four months. Only the 2021–22 bear market, which lasted about 10 months, cut deeper.
Is the chip index still up this year?
Yes. Even after Thursday, the index is 27.2% above its 2025 close of 7,083.13. It more than doubled from there to its June peak, so a large part of the gain has been given back.
The broader market fell less. The Nasdaq Composite dropped 5.52% to 24,315.00 and is 11.9% below its Oct. 6 record close, and the S&P 500 fell 4.36% to 7,353.73, Yahoo data show. The VIX volatility index jumped to 28.18 from 16.61.
Track U.S. indexes and the VIX on our world markets page. For the Asian side of the chip selloff, see Kospi's 22nd fall of 5% or more this year, and for October's rebound, chip stocks' 2.8% bounce and tech valuations.
Sources
- Yahoo Finance, chart data for the PHLX Semiconductor index (^SOX), the Nasdaq Composite (^IXIC), the S&P 500 (^GSPC) and the VIX (^VIX)
- CNBC, Stock market today: live updates (Nov. 5, 2026)