Chip Stocks Drive Market Turmoil. Intel Plunges 20% After Grim Earnings Report and TSMC Dips More Than 4%

Intel shares fell more than 20% in premarket trading on Friday after the company reported disappointing earnings results for the second quarter and announced plans to lay off over 15% of its employees. Intel's poor results weighed down other chip stocks as well, with TSMC closing over 4% lower and Samsung falling over 4%. In the US, Nvidia dropped around 3.5% in premarket trading due to Intel's news and a separate report that the DOJ has launched an antitrust investigation into the company. The slump in chip stocks added to an overall global market sell-off, especially dragging down the tech-heavy Nasdaq index.