Chip stocks carry dot-com-level volatility on top of stretched valuations

In June 2026 the PHLX Semiconductor Index hit volatility levels matching the 2000 dot-com bubble, per Benzinga. By July, Reuters reported U.S. chip stocks in a rocky patch with investors wrestling high valuations — leaving little margin for error. Implied volatility on the VanEck Semiconductor ETF sat at 46 in May, 2.5 times the S&P 500's.