Chip Stocks Tumble as Bond Yields Climb on Inflation and Debt Fears

A selloff in chipmakers dragged global stocks lower on Wednesday, while rising government debt and persistent inflation worries kept bond yields elevated. Investors sold off semiconductor shares, weighing heavily on major indices. The decline in tech stocks came as anxiety over price pressures and government borrowing costs continued to unsettle markets. At the same time, yields on government bonds remained high, reflecting growing concerns that central banks may need to keep interest rates restrictive for longer. Higher yields typically make future earnings from growth stocks, like chipmakers, less attractive. The combined pressure from weak tech sentiment and firm bond yields left equity markets in a cautious mood, with traders bracing for further volatility.