KLA CorporationKLA drops over 8% as chip stocks fall on geopolitical tensions and oil price spike.
U.S. stocks tumbled Wednesday, with the Dow Jones Industrial Average falling about 900 points, or 1.6%, as rising oil prices and renewed Middle East tensions weighed on investor sentiment ahead of the Federal Reserve's policy decision. The S&P 500 lost 1.1% and the Nasdaq Composite declined 1.3%. West Texas Intermediate crude rose about 6.9% to $89.88 a barrel after President Donald Trump said the U.S. would respond forcefully to attacks linked to Iran. Chipmakers extended recent losses, with the iShares Semiconductor ETF sliding more than 4%, while Micron Technology and Advanced Micro Devices each fell more than 5% and KLA dropped over 8%. Markets also remained focused on the Federal Reserve's policy announcement later Wednesday, with traders largely expecting policymakers to leave interest rates unchanged in a target range of 3.5% to 3.75% and attention turning to Chair Kevin Warsh's comments for clues on the rate outlook.
KLA CorporationKLA drops over 8% as chip stocks fall on geopolitical tensions and oil price spike.
Micron Technology IncMicron falls over 5% amid broad chip selloff driven by Middle East tensions and oil surge.
Advanced Micro Devices IncSemiconductor sector declines amid Middle East tensions and oil surge, dragging AMD down over 5%.