S&P 500 turns negative as Nasdaq 100 falls over 0.4%, Philadelphia Semiconductor Index drops more than 2.2%

The outsized drop in the Philadelphia Semiconductor Index relative to the broader Nasdaq 100 points to chip stocks as the specific drag on Thursday's session rather than a uniform risk-off move. That matters because semiconductors have been a key engine of the equity rally tied to AI and data-center demand, so weakness concentrated there can ripple into adjacent crypto and RWA sentiment through the shared tech-risk channel. The producer price data framing suggests the market is still parsing inflation signals alongside sector earnings. Whether chip weakness is a one-day rotation or the start of a deeper de-rating is the open question.