The Dow Jones industrial average fell 0.2 percent on Thursday, the broad S&P 500 index fell 0.5 percent and the tech-heavy Nasdaq composite index fell 1.5 percent.
Several of the major chip companies had a tough day. Vaneck, Broadcom, AMD, ARM and Micron fell between 3.7 and 6 percent. South Korean SK Hynix shares in New York plunged 13.7 percent.
Matt Maley, a strategist at the research firm Miller Tabak, said semiconductor stocks are a cause for concern.
They are definitely showing clear signs of weakness, so they need to see a strong and sustainable recovery soon, otherwise serious warning flags will be raised, he told Bloomberg.
A barrel of North Sea oil now costs $84.4 after a sudden drop of 0.7 percent during the day.
