Cathie Wood Is Piling On Chip Stocks Amid Recent Market Correction — Continues To Sell Tesla Shares

Cathie Wood-led ARK Investment Management bought over $3.8 million in chip stocks on Monday as the market witnessed some correction in recent times.

Funds operated by ARK bought over 18,500 shares of Advanced Micro Devices, Inc. AMD at an estimated valuation of close to $2 million based on Monday's closing price. Similarly, ARK purchased over 18,000 shares of Taiwan Semiconductor Mfg. Co. Ltd. TSM at an estimated valuation of over $1.8 million.

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The purchase was done via the ARK Autonomous Technology & Robotics ETF ARKQ and the ARK Next Generation Internet ETF ARKW.

Chip stocks, along with the rest of the market, have witnessed correction since mid-June when the Federal Reserve announced its June policy. After 10 consecutive rate hikes, the central bank announced a pause in its tightening but indicated there could be another 50 basis points worth of hikes this year.

AMD shares have lost over 9% in the last five trading sessions while it closed 2.27% lower on Monday. There have been reports of a drop in AMD Radeon RX 7600 prices. The graphics processing unit (GPU) is now available for $249, marking a $20 discount from its original MSRP. The stock is still up over 67% since the beginning of the year, according to Benzinga Pro.

At the same time, Taiwan Semiconductor shares have corrected just 3.91% in last five trading sessions and have registered over 35% gains since the beginning of 2023.

Major Sale: ARK sold over 8,200 shares of Tesla Inc TSLA at an estimated valuation of close to $2 million. The stock closed over 6% lower on Monday after Goldman Sachs downgraded it from ‘Buy' to ‘Neutral.'

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