U.S. Retail Investors Sell Off AI and Chip Stocks Over Three Consecutive Days, First Time Since March 2020

According to Vanda Research, U.S. retail investors sold a net outflow of stocks over three consecutive trading days, marking the first occurrence since March 2020 when the market experienced severe turbulence due to the pandemic. The selling pressure concentrated on semiconductor and artificial intelligence-related stocks, with investors reportedly building cash positions ahead of the anticipated SpaceX IPO. Data showed that retail outflows from individual stocks on Monday reached the largest scale since November 2023, as retail traders did not aggressively buy dips when tech stocks declined during the period.
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