DRAM is trading 4.6% down today as investors reassess near-term returns on massive AI infrastructure spending following disappointing earnings updates from Alphabet and Tesla.
- Disappointing updates from mega-cap tech leaders have triggered a broader reassessment of the return on investment for massive AI infrastructure projects.
- Market participants are concerned that the upcoming multi-billion dollar IPO of Chinese memory maker CXMT will drain liquidity from existing semiconductor names, amplifying the current selloff.