US stocks end lower as AI worries hit chipmakers

STORY: Wall Street's main stock indexes fell on Tuesday, with the Dow dropping a quarter of a percent, the S&P 500 shedding just under half a percent and the tech-heavy Nasdaq losing more than one percent.Chip stocks in Asia and the U.S. declined after memory chip giant Samsung's blowout earnings report failed to satisfy investors with sky-high expectations.Leah Bennett is chief investment strategist at Concurrent Investment Advisors."Samsung reported great earnings overall, but I think investors are really starting to scrutinize the growth of a lot of these high growth companies. They're looking for any potential weakness in margins, in revenues, or if anybody is using the word 'over capacity' or 'excess capacity' in any way. And last night, we saw Samsung mention that their memory prices were only going to be up 30% versus an expectation of 40%. And the stock really sold off significantly. And I think that's brought down the rest of the high-growth stocks."Shares of Micron Technology fell more than 4.5%, while Sandisk dropped over 7%.:: NvidiaAdding to worries about high-flying chipmakers, Reuters reported that Chinese startup DeepSeek is developing its own AI chip, a push that could reduce its dependence on Nvidia and Huawei chips.Shares of Nvidia fell in morning trading, but closed slightly higher.:: SK HynixAnother test of the appetite for chip stocks looms on Friday, when South Korean giant SK Hynix's U.S. listing starts trading on the Nasdaq.Meanwhile, Elon Musk's SpaceX tumbled more than 6.5% in its first day of trading as part of the Nasdaq 100 index and after a wave of brokerages initiated coverage on the stock with largely bullish outlooks.