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Sector Update: Tech Stocks Fall Late Afternoon

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Tech stocks were lower late Wednesday afternoon, with the State Street Technology Select Sector SPDR ETF (XLK) falling 2.4% and the State Street SPDR S&P Semiconductor ETF (XSD) dropping 3.4%.

The Philadelphia Semiconductor index slumped 3.6%.

In sector news, institutional demand for SpaceX shares is more than four times the amount available ahead of its initial public offering, Bloomberg reported.

In corporate news, Microsoft-backed (MSFT) OpenAI is expected to go public within the next year, although the timing could shift depending on market and company conditions, The Information reported, citing Chief Executive Sam Altman's Slack message to staff. Microsoft shares were down 1.3%.

Super Micro Computer (SMCI) shares tumbled past 25% after the company said late Tuesday it is planning $7 billion worth of equity and equity-linked financing transactions as part of efforts to fund AI orders related to its advanced servers.

Alphabet (GOOGL, GOOG) unit Google's YouTube and Meta (META) were denied a new trial after a jury found that the companies were liable for designing social media platforms that are addictive to young people, Reuters reported Wednesday. Alphabet shares were down 2.2%, and Meta shed 2.2%.

ASML (ASML) will cut fewer jobs than the roughly 1,700 positions it initially planned to eliminate following negotiations with Dutch labor unions, Bloomberg reported. ASML shares declined 2%.

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