Chip, storage shares continued to fall in overnight trading. SK Hynix fell over 5%; SOXL down 4%; SanDisk, Western Digital, ARM down around 3%; Seagate Tech, Micron down abput 2%.

AST SpaceMobile shares fell 12% in overnight trading after the company said it intends to offer $1 billion of convertible senior notes due 2034 in a private offering to qualified institutional buyers.

AST SpaceMobile said the notes will be senior, unsecured obligations that accrue interest payable semiannually and mature on Feb. 1, 2034, unless earlier converted or repurchased. The interest rate, initial conversion rate and other terms will be set at pricing. Initial purchasers will have a 13-day option to buy up to an additional $150 million of notes.

The company said it intends to use a portion of the net proceeds to pay the cost of capped call transactions that are expected to reduce potential dilution and/or offset cash payments above principal upon conversion, subject to a cap. The remaining net proceeds are intended to support growth initiatives and secure additional access to orbit for its space based cellular broadband network.