ASML's deep forecast cuts that sparked a global tech stock selloff signal overcapacity at chip factories rather than a slowdown in global semiconductor demand, analysts said. While the weaker 2025 sales outlook from the chip equipment maker on Tuesday raised fears of faltering global semiconductor demand,

ASML's downgraded 2025 sales forecast has sparked a major sell-off in chip stocks, causing concerns about potential faltering global chip demand. However,

The weaker outlook could reflect some overcapacity at chip factories that had already stocked up on ASML's pricey tools during the pandemic Computer chip equipment maker ASML's deep cuts to its 2025 sales forecast sparked a sell-off in chip stocks on Tuesday over worries that global chip demand may be faltering.