Semiconductor stocks fell Wednesday, hurt by Micron Technology , which announced that it suffered a fourth-quarter loss of $158 million, or 21 cents per share. Elsewhere, Morgan Stanley started semiconductor giant Intel at underweight. Shares of MU dropped about 9% on the day, with Intel shedding more than 2%. Other chip stocks were retreating as well, with the Semiconductor HOLDRS Trust plunging more than 2% on the day, taking out its 10-day and 20-day moving averages in the process.

For more on Intel, check out Mark Fightmaster's commentary in today's edition of Options Update.