Why Intel Stock Hit the Skids on Wednesday

Shares of Intel (INTC -4.87%) were trading sharply lower on Wednesday, plummeting as much as 4.6% in early trading and remaining down 4.3% by 1:58 p.m. ET on Wednesday. The precipitous stock decline was a result of a report about an explosion at Intel's plant in Israel. Early accounts indicate that three individuals were seriously injured in the blast at the company's manufacturing facility in Kiryat Gat, Israel.

Police and fire officials attending the incident suspected an exploding gas cylinder as the cause, but the definitive cause is still under investigation. A fire ensued from the explosion and has since been extinguished. Firefighters are examining the situation to ascertain the exact circumstances of the blast and are also investigating the potential for a hazardous chemical leak.

Local officials have not found any evidence of a terrorist attack, stating that while the fire is now out, security personnel and emergency responders are still present at the scene. The injured were transported to a nearby hospital for treatment. The plant in question is one of Intel's principal facilities in the country, having manufactured chips that power most of the world's personal computers for over 20 years.

As of now, it remains too early to determine if there will be any long-term repercussions for Intel or its shareholders. Investors are advised to stay vigilant and monitor the situation as more information becomes available, and to refrain from making hasty decisions until all the facts are in.