The current period is not favorable for semiconductor manufacturers.
Jerome Powell, the chairman of the Federal Reserve (Fed), said on Aug. 26 that the central bank would continue to raise rates aggressively to fight inflation.
The problem is that economists believe that this monetary tightening will lead to a hard landing in the economy, or a recession. And who says recession is saying that households will arbitrate in their spending and sacrifice purchases related to technology products, video games and other non-essential purchases. Companies on their side would suspend their investment projects.