India, July 28 -- Chip and memory stocks saw heavy selling during Tuesday's opening trading session. Shares of several major companies dropped between 4% and 15% in early trade. The companies that fell included Micron Technology (MU), SK Hynix (SKHY), Advanced Micro Devices (AMD), Intel (INTC), Seagate Technology (STX), Western Digital (WDC), SanDisk (SNDK) and other companies in the sector.

The Roundhill Memory ETF (DRAM) was down nearly 12% at the time of writing, according to StockTwits. The iShares Semiconductor ETF (SOXX) also declined around 7%.

Morgan Stanley's Chief US Equity Strategist and Chief Investment Officer Mike Wilson explained why investors are now selling chip and memory stocks during an interview with CNBC. Wilson sa...