US AI and Semiconductors Plunge as Crypto Market Shifts to Risk Aversion

The US stock market is experiencing a downturn in AI and semiconductor stocks, with SK Hynix's American depositary receipt (ADR) falling by 10.4% to $151.468 in premarket trading on July 13.

Other AI-related stocks are also declining, including Micron Technology, which dropped 6.6%, and Nvidia, which fell 2.16%. Storage-related shares such as SanDisk, Seagate Technology, and Western Digital are also weaker, losing between 5.4% to 6.6%.

The downtrend is attributed to a reduction in growth stock risk turning into risk aversion in the crypto market, with the fear index at 28 and Bitcoin dominance at 56.05%. The increasing net outflows of the South Korean won also support this bearish outlook.