Micron's 30% Decline Is Dragging Down the iShares Semiconductor ETF (NASDAQ: SOXX). Here's a Low-Cost Vanguard ETF to Buy Instead.
Demand for memory chips to power AI workflows has led to surging prices in memory chip stocks like Micron.
Overview
Semiconductors have been one of the best-performing industries this year. The iShares Semiconductor ETF (NASDAQ: SOXX), which closely tracks the industry, is up a staggering 73.1% year-to-date (YTD) but is down over 20% from its June 22 all-time high.
Here's why semiconductor stocks are selling off, and why the Vanguard Information Technology ETF (NYSEMKT: VGT) is a better buy than the iShares Semiconductor ETF.
Image source: Micron.
Details
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Originally published at www.fool.com.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.