Now Reading: Chip stocks rally up to 5%, Nasdaq surges on AI hopes
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Chip stocks rally up to 5%, Nasdaq surges on AI hopes
Chip stocks powered the Nasdaq higher on Monday, with SanDisk, AMD, Micron, and SK Hynix extending their rally with gains of up to 5 percent. NDTV Profit reports that investors continue to…
The Story in Brief
Chip stocks powered the Nasdaq higher on Monday, with SanDisk, AMD, Micron, and SK Hynix extending their rally with gains of up to 5 percent. NDTV Profit reports that investors continue to favour technology companies, expecting the artificial intelligence investment cycle to remain strong.
The surge in semiconductor shares came as market participants focused on demand from AI data centres. Memory chip makers like Micron and SK Hynix have been particularly strong performers in recent weeks.
The Indian Opinion
The AI hype cycle is alive and well on Wall Street, but this rally feels different. It is being driven by memory chip makers like SanDisk and Micron, not just AI darlings. The real test is whether this demand translates into sustained earnings growth, or whether we are simply inflating another semiconductor bubble. How many more chip plants can the world absorb before supply outstrips demand, as it did in 2023?
Source: ndtvprofit.com
This story was synthesised by AI from the source linked above.
