ASML Holding is trading 3.3% down at $1,698.35 amid a sharp pullback in semiconductor equipment names following reports that a state-backed Chinese firm has mass-produced advanced chipmaking tools.
- The news has sparked competitive and geopolitical worries for industry leaders, potentially challenging ASML's market dominance.
- The decline follows an extended AI-driven rally, with investors taking profits and reassessing rich valuations and regulatory risks.
- The broader sector is seeing a reassessment of long-term growth trajectories in light of new technological competition.