Global Chip Stocks Tumble After Broadcom Miss, Strong Jobs Data; KLAC, ENTG Decline

Global semiconductor stocks sold off sharply on June 5, 2026, after Broadcom's guidance miss reset artificial intelligence spending expectations and a stronger-than-expected U.S. jobs report eliminated near-term rate-cut hopes. The twin catalysts triggered the widest chip selloff of the year. South Korea's Kospi index fell 5.5%, with Samsung down 6.4% and SK Hynix sliding nearly 10%. European equipment makers ASML and Infineon dropped 3.8% and over 6%, respectively. The Labor Department reported 172,000 new jobs, erasing easing bets and introducing rate-hike risk by year-end, per CME FedWatch. Equipment stocks including KLA Corporation (KLAC) and Entegris (ENTG) declined. KLAC, trading near its 52-week high of $2,131, retreated but remains up 56.5% year-to-date. Semiconductor valuations, built on multi-year growth assumptions, came under pressure as the sector's chief catalyst evaporated and higher discount rates loomed.