On July 1st Eastern Time, the first trading day of the third quarter, the global storage industry chain experienced an indiscriminate deep correction. The leading storage companies in the US and South Korea, as well as A-share storage chip concept stocks, collectively plunged, while the Philadelphia Semiconductor Index simultaneously weakened significantly. The HBM, memory, and flash memory tracks, which had been soaring in the first half of the year, ushered in the most intense round of profit taking outflows since the beginning of the year.

Micron (Micron Technology) closed down 10.57%, closing at $1032.28, with a significant pullback in short-term market value; Sandisk plummeted by over 10.6%, closing at $2032.22,; Western Digital fell about 7% synchronously, closing at $598.37, and the NAND flash memory sector was under pressure across the board.

The two major storage giants in South Korea have not been able to stand alone. On July 1st, the Japanese and Korean stock markets closed with SK Hynix down about 3.4%, closing at 2.56 million Korean won; Samsung Electronics' stock price continues to be under pressure at the 300000 Korean won mark as it experiences synchronous fluctuations and corrections. By the pre-market stage of July 2nd in Japanese and Korean stock markets, panic had further escalated, with pre market estimates of Samsung falling 7% and SK Hynix falling 8%, releasing a concentrated pessimistic sentiment in the market.

A-shares of storage chip concept stocks collectively fell, with leading enterprise Zhaoyi Innovation hitting the limit down. The reporter called the Zhaoyi Innovation Investor Hotline, and the staff of the other party replied, "The company's current production and operation are all normal, and it is currently the half year report disclosure window period. Other information cannot be disclosed

On the news front, the core trigger for the collective plunge of the storage sector this time is the rumor that Meta plans to open up its own idle AI computing power for external leasing and sell models and computing resources to external customers. The market directly interprets it as two pessimistic expectations: firstly, the current computing power supply of top cloud providers is already excessive, and the demand for new storage and GPU procurement will significantly shrink in the future; Secondly, the capital expenditure expansion slope of global AI giants has peaked, and the logic of high storage demand that has lasted for more than a year has loosened. As soon as the news came out, upstream storage, optical communication, and semiconductor equipment were simultaneously sold off.

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