AI Chip Stocks Slide as SOXX Falls 20% From Peak on Valuation and China Concerns

Semiconductor stocks tied to the artificial intelligence boom have tumbled from their recent highs, with the closely watched iShares Semiconductor ETF (SOXX) down 20% from a June 22 record as investors reassess the once-unstoppable "AI trade." The pullback, reported by Axios on July 19, 2026, marks one of the sharpest reversals for the chip complex since the current AI cycle began.