US Stocks Movement | Storage Concept Stocks Rise Against the Trend Amid Reports That South Korea’s Two Major Memory Chip Giants Continue to Cut Production

Glonghui Jan 20｜Storage concept stocks defied the trend and strengthened, with SanDisk rising over 6%, Micron Technology up 3.5%, Western Digital nearly 3% higher, and Seagate Technology up 2.6%. In terms of news, South Korea's two major storage chip giants, Samsung Electronics and SK Hynix, are reportedly continuing to cut NAND flash production, which may exacerbate supply shortages. According to data cited by Korean media from market research firm Omdia, Samsung Electronics' NAND wafer production this year will drop to 4.68 million units from 4.9 million units last year, even lower than the production cut implemented in 2024 due to deteriorating profitability. SK Hynix's NAND production will also drop from about 1.9 million units last year to 1.7 million units this year. In addition, Micron Technology executives pointed out that memory chip shortages have intensified over the past quarter and reiterated that the situation will persist beyond this year due to surging demand for high-end semiconductors needed for artificial intelligence infrastructure. This echoes a similar forecast made by the company in December. (Glonghui)