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The recent rally in chip equipment stocks (SMH -1.7%) has created significant downside risk for...

The recent rally in chip equipment stocks (SMH -1.7%) has created significant downside risk for the group, Goldman Sachs writes in cutting ratings for Applied Materials (AMAT -3.6%) and Lam Research (LAM -5.3%). "Record shipments to the foundries and Intel (INTC) will lead to excess supply and a downward trend in orders through mid-2012."
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