Advanced Micro Devices IncAMD
Mentioned
The VanEck Semiconductor ETF has begun to form a bearish head-and-shoulders stock pattern, according to Yahoo Finance AlphaSpace chart analysis. The left shoulder took shape in mid-May, the head in late June, and the right shoulder has now emerged, with the pattern becoming official if the ETF falls below the May 19 closing low of $543. The formation suggests buyers are losing control, and a break below the neckline would indicate the prior uptrend has ended and a new downtrend may be starting. Investors are concerned about cooling AI spending, potential export restrictions, tariffs, and geopolitical tensions, while questioning whether AI chip demand can justify massive capital spending and lofty valuations. AMD chair and CEO Lisa Su pushed back, stating demand for compute is at a premium and expressing confidence in the demand picture, but Evercore ISI strategist Julian Emanuel noted ongoing worries of AI overspending and demand durability have led to violent profit taking.
