Defensive Stocks Rally as Memory Chip Selloff Hammers Tech

June 23 saw a sharp selloff sweep through US tech, with memory chip names taking the brunt. As the carnage unfolded, capital visibly rotated into consumer staples and healthcare. According to CNBC, Walmart (WMT), Procter & Gamble (PG), and Johnson & Johnson (JNJ) all gained ground even as tech broadly sold off, and all three major indexes managed to recover from their intraday lows.¹

Defensive Names Buck the Selloff

Per CNBC, several consumer staples and healthcare companies finished the session in the green:¹

• Walmart (WMT): up more than 2%.
• Johnson & Johnson (JNJ): up more than 2%.
• Coca-Cola (KO): up roughly 0.6%.

Market data also showed Procter & Gamble (PG) rising approximately 2.08% on the day,² while tobacco staples name Philip Morris International (PM) closed up 3.43%.³

Consumer staples and healthcare are widely regarded as defensive sectors — demand for their products tends to hold up regardless of the economic cycle, making them a go-to destination when risk appetite fades.

Accenture Tacks On $2B to Its Buyback

IT services firm Accenture (ACN) also moved against the tape. According to a company press release, Accenture expanded its fiscal year 2026 (ending August 31, 2026) share repurchase program by an additional $2 billion, bringing total expected buybacks for the year to $7.5 billion — roughly 62% more than the prior fiscal year.⁴

The company disclosed that the $2 billion addition is on top of the $300 million originally planned for the current quarter, putting total expected Q4 repurchases at $2.3 billion. Accenture said the move is supported by its liquidity position and cash generation, and is designed to accelerate shareholder returns while continuing to fund business investment.⁴

CEO Julie Sweet said in the statement that the company is at the center of "AI-driven reinvention," adding: "We believe our current stock price does not reflect this position or the strength of our fundamentals."⁴ Accenture shares rose following the buyback announcement.⁵

The repurchase figures and rationale above reflect management's own characterizations; this article reports them as disclosed and makes no judgment about their effect on the stock price.

Chip Stocks Take Heavy Losses

While defensives rallied, memory chip names were among the session's worst performers. CNBC reported that Micron (MU) fell more than 10%, Marvell (MRVL) dropped roughly 8%, and SanDisk (SNDK) slid about 11%.¹ The major indexes nonetheless clawed back from intraday lows, partly as tech names outside memory chips — including Microsoft and Amazon — along with defensive stocks provided some offset.¹

Defensive Sectors in 2026: The Broader Picture

Zooming out, consumer staples and utilities have drawn consistent attention in 2026. Market data shows that through June 19, consumer staples were up roughly 6% year-to-date, while utilities had gained approximately 3%.²

Investors tracking these sectors often use ETFs such as the Consumer Staples Select Sector SPDR Fund (XLP), the Health Care Select Sector SPDR Fund (XLV), and the Utilities Select Sector SPDR Fund (XLU). This article has not independently verified the single-day performance of these ETFs on June 23; for that, refer to each fund's official data.

Capital flowing into defensive sectors during tech drawdowns is a well-established market pattern. Whether June 23 marks the beginning of a sustained rotation will depend on how fund flows and sector performance develop in the days ahead — this article documents what happened on that single day.

This content is for informational purposes only and does not constitute investment advice, trading advice, or any guarantee of returns.