Semiconductor stocks extended their pullback on July 30, with the Semiconductor Equipment ETF China Merchants (561980) down 4.28% and companies including AMEC, Naura Technology Group, Hygon Information Technology, and Advanced Micro-Fabrication Equipment Inc. China falling more than 2%. Cambricon dropped more than 6%, SMIC fell 3.59%, and materials names including Youyan New Materials and China State Shipbuilding Special Gas also slumped, according to Jiemian News. Despite the weakness, the ETF has posted five straight days of net inflows totaling 433 million yuan, and its latest size reached 6.625 billion yuan.

Jiemian News said the sector’s move was tied to overseas markets after Federal Reserve rate changes and geopolitical tensions weighed on sentiment, while earnings from Microsoft and Meta, together with overnight losses in U.S. mega-cap tech and memory chips, added to volatility. Microsoft reported revenue of $90.01 billion, up 18% year on year, operating profit of $40.6 billion, up 18%, and cloud revenue of $59.3 billion, up 27%, while lowering its fiscal 2027 capital expenditure forecast from $190 billion to $175 billion. Meta reported second-quarter revenue of $60.8 billion, up 28%, but net profit fell 14% to $15.8 billion and free cash flow dropped to $784 million from $8.55 billion a year earlier; it also raised the lower end of its 2026 capital spending plan to $130 billion-$145 billion from $125 billion-$145 billion.

Samsung Electronics also reported second-quarter sales of 171.50 trillion won, up 130%, and operating profit of 89.49 trillion won, up 1,813.83%. Jiemian News reported that Samsung’s foundry prices have risen by about 15%, while TSMC has raised advanced-process prices by 5% to 10%, reinforcing the view that the semiconductor supply chain is shifting from demand-driven to supply-driven pricing.