Semiconductor sector suffering broad selloff after China says stop using Micron chips

The semiconductor sector is taking a hit Monday, after China’s government told some technology-product makers not to use memory chips made by Micron Technology Inc.
MU,
-2.57%,
citing security risks. China’s call comes after it had warned of consequences after the U.S., Europe and Japan reduced China’s access to advanced chipmaking and other technology that might be used in weapons. The VanEck Semiconductor exchange-traded fund
SMH,
-0.17%
slumped 1.0% in premarket trading, with 18 of the 22 components that have traded ahead of the open losing ground. Micron’s stock fell 5.5% to pace the losers. Among other more-active components, shares of Nvidia Corp.
NVDA,
-0.06%
dropped1.2%, Advanced Micro Devices Inc.
AMD,
+1.58%
shed 1.5%, Intel Corp.
INTC,
+1.42%
gave up 0.6% and Qualcomm Inc.
QCOM,
-0.97%
were down 1.0%. The selloff comes as futures
ES00,
+0.12%
for the S&P 500
SPX,
+0.14%
edged down less than 0.1%.