Weekly Recap | SPDR S&P Semicon -12.48%, semiconductors lead the pullback

The Week

XSD.US fell 12.48% this week to close at $462.03, while the S&P 500 lost 1.95%, leaving the ETF roughly 10.53 percentage points behind. The week opened at $521.99 on Monday and slid lower each session, closing Friday near the week’s low at $461.11. It was a one-way move down, with intraweek amplitude of 11.66%.

Sector News

The semiconductor space came under broad pressure this week, with the AI hardware complex selling off. On Thursday, chip stocks dragged the Nasdaq lower and reports pegged the one-day US chip market value wipeout at $2 trillion. Friday, CoreWeave debt worries added to the AI trade decline, and chip stocks logged their longest losing streak since 2006. Among constituents, Credo slipped in after-hours trade after a CFO share sale and valuation compression, while ON Semiconductor received a new buy rating from StoneX with a $110 target and Texas Instruments declared its quarterly dividend. Cirrus Logic said it would no longer pursue a Synaptics deal.

The Week Ahead

On the macro calendar, the NAHB housing market index lands Monday, followed by housing starts and building permits on Tuesday, and EIA crude and Cushing inventories on Wednesday. For semis, the focus remains on the heating-up earnings season and any signal on AI spending and memory demand. CoreWeave credit headlines also remain on the radar as a potential swing factor for the AI hardware trade.

In Short

This week’s drop in XSD.US tracked a broader de-rating in AI-linked hardware: the sector logged its longest chip losing streak since 2006 while brokers such as StoneX stayed constructive on select names like ON Semiconductor. Valuation shows a PB of 2.76 and negative PE, while the latest session’s flow skews small-lot net buying with large-lot sitting flat. The test ahead is whether earnings season and macro data can reset the AI trade, or whether CoreWeave concerns keep volatility elevated across semiconductors.

This article is generated by LongbridgeAI from market data, for information only and not investment advice.