Wall Street Tuesday: Dow Green, Nasdaq Bleeding, SpaceX Wild

South Korean regulators issued a warning on leveraged ETFs Tuesday, sparking a semiconductor selloff that dragged the Nasdaq sharply lower. Micron Technology (MU) plummeted 11%, while ARM Holdings (ARM), Marvell Technology (MRVL), and Texas Instruments (TXN) each dropped roughly 9%. The regulatory warning triggered a broad risk-off move across chip names.

IBM (IBM) bucked the tech weakness, climbing 4.8% on analyst upgrades and news of an OpenAI partnership. SpaceX shares reversed early losses to gain 8% after announcing its Starfall cargo delivery service. The Dow Jones posted its third consecutive day of outperformance versus other major indexes as defensive rotation continued.

The semiconductor rout marks the sharpest single-day decline for the group since last quarter, with the leveraged ETF warning from Seoul amplifying volatility in an already fragile tape. Micron's 11% drop represents its worst session in months, pressuring the broader SMH semiconductor ETF.