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Wall Street rebounded as semiconductor stocks surged following a sharp selloff, with  AI-driven demand and easing geopolitical tensions restoring investor confidence  despite lingering macro risks. Semiconductors Lead Market Recovery Technology shares drove the rebound, reversing a  US$1 trillion sector wipeout  from the prior session. Gains were broad-based: Intel   +8.5%  on potential chip deal with  Alphabet Nvidia   +1.7% Broadcom   +2.8% Micron Technology   +8.7% The  Philadelphia Semiconductor Index jumped 4.6% , underscoring renewed buying interest. Markets Rebound as Risk Sentiment Improves Major US indices moved higher: S&P 500 +0.68% Nasdaq +1.09% Dow Jones +0.29% The recovery reflects a shift back toward  growth and AI-linked equities , with investors viewing the prior selloff as temporary. Why Chip Stocks Rebounded So Quickly The sharp reversal highlights a clear dynamic:  short-term macro panic versus long...

Shares of  NVIDIA Corp  fell in premarket trading as escalating Middle East tensions raised concerns about energy costs and broader semiconductor supply chain risks. Key Takeaways Nvidia fell 1.3% in premarket; down 4.7% YTD Chip stocks broadly weaker amid oil shock fears Main risk is rising energy costs, not direct production shutdowns Asian semiconductor suppliers hit hardest Chip Sector Under Pressure Advanced Micro Devices Inc.  and  Broadcom Inc.  both declined in premarket trading. Taiwan Semiconductor Manufacturing Co.  dropped over 4% in Taiwan trading. Key Point: The immediate threat is not factory shutdowns — it’s higher energy and transportation costs squeezing margins. Semiconductor fabrication facilities are extremely energy intensive. Sustained increases in electricity and fuel costs could materially impact production economics. Asia Bears the Brunt Asian chip suppliers have fallen sharply due to heavy reliance on Middle East energy flows thro...

After the bell,  Texas Instruments (TXN)  delivered Q2 earnings that beat expectations, but its Q3 guidance fell short — and that was enough to rattle the entire analog chip space. Market Reaction: TXN : -11% after-hours ADI  (Analog Devices): -5.4% MCHP  (Microchip Tech): -6.4% NXPI  (NXP Semi): -5.5% ON  (ON Semi): -6.8% STM  (STMicroelectronics ADRs): -6.9% What Spooked Investors? While Q2 was solid, TXN’s Q3 EPS guidance midpoint came in at  $1.48 vs $1.51 est. That small miss matters — because investors are desperate for signs of a  robust chip rebound , especially after a weak 2024. Context from the Call: Recovery is happening , but slowly and unevenly. Consumer electronics and industrials show promise. Auto chips ? Still weak. CEO Haviv Ilan: "Cycle will be less pronounced and more shallow." Investor Takeaway: This isn’t about Q3 earnings — it's about the  shape  of the recovery. For analog chipmakers, this  may be a lon...

Muted Monday energy for Asia despite Wall Street’s historic highs What’s Happening in Asia? Asian stocks are expected to open  cautiously flat to slightly up  this morning after the  US rally fizzled  overnight. 🇭🇰 Hong Kong and 🇦🇺 Sydney point to small gains 🇯🇵 Tokyo looks flat — markets reopen after a public holiday and political shake-up Wall Street Recap: S&P 500  closed  just above 6,300  (+0.1%) for the first time Energy & chip stocks  dragged, with Nvidia dipping Treasuries rallied , especially long-term (30-year yield ↓ 4bps to 4.95%) USD slipped  against major currencies Tariff Tension Builds “Markets are bracing for impact.” – Matt Maley, Miller Tabak US President Trump may issue  more unilateral tariff letters  before Aug 1 Philippine President Marcos Jr. is visiting Trump  today  to strike a last-minute deal EU is already preparing retaliatory measures if no deal is reached Earnings Season: Game O...

Chip stocks worldwide have shed more than US$420 billion in combined market value following a tepid outlook from ASML Holding NV , a key supplier of advanced chipmaking equipment. This warning has triggered a global selloff, halting a recent rally that had pushed chip stocks to a three-month high. ASML , based in the Netherlands, saw its shares tumble by the most since 1998 after cutting its 2025 revenue guidance . The company reduced the top end of its net sales forecast for 2025 from €40 billion to €35 billion , citing weakness in areas beyond AI applications. The announcement, which was mistakenly released a day early, shocked investors with the magnitude of the correction, as noted by Citigroup analyst Atif Malik . The selloff affected Nvidia Corp , which fell nearly 5% , alongside other major chipmakers, including Tokyo Electron Ltd (down 10%) and Taiwan Semiconductor Manufacturing Co (down 3.3%). While some investors believe ASML's struggles may be specific to the com...