There are lots of things happening recently and probably more in next month which could affect overall market and specially AI, semiconductor and related sectors.
1. Increase in long term US treasury bond yeild. Hyperscalers has been issuing unprecedented corporate bonds to feed the capex and which are directly competing with the US treasury. Recent increase in bond yeild is gonna increase this competition further and which could either encourage investors to shift money into lucrative safe options or force the Hyperscalers to tighten the spending to avoid further higher bond intrest rate.
2. Though unlikely hike in intrest rate by Federal reserve in next FOMC meeting in next month but there is still probability after 9-3 vote.
If it happens it will increase the borrowing cost for capital intensive semiconductor manufacturing fab businesses and will affect their expansion plans.
3. There is high probability of Bank of Japan increasing their intrest rate in next month by 0.25%, from steady 1% to 1.25% after high inflation. Usually investors don't give much attention to this but this intrest rate hike is very important because BOJ has always been provider of cheap capital. After providing 0% intrest rate for decades which has always been used for liquidity into high growth stocks. Recently they have been rising intrest rate and this further increase will unwind the leveraged profitable positions in semi and AI stocks.
Citadel curtailed 80% of high risk portfolio scooped up from situational awareness could be part of this bigger picture.