It's because they are pulling back due to concerns over vague AI regulations...

It's because they are pulling back due to concerns over AI regulations
from the US Democrats, which are still ill-defined.
I don't think this is a negative factor that will be resolved in a short period of time...
Since the elected governor's term begins next January,
it seems the noise will continue for the time being.
In any case, the valuation logic
based on earnings has already been shattered...
No matter how good Nvidia's earnings are this quarter,
even if Samsung Electronics and Hynix hit
all-time high earnings next quarter
and rank 1st or 2nd in operating profit among companies worldwide,
it won't be easy for those two companies to break out
of their historical valuation floors.
However, the ultimate goal of the US Democrats will be to retake power...
And since AI is the core of the US-China hegemony war
and currently the largest pillar of US economic growth,
they won't be able to keep suppressing it indefinitely.