Micron Technology’s $3 billion U.S. semiconductor investment sparks a sector-wide rally, driving the Nasdaq Composite up 0.9%.
The Nasdaq Composite rose 0.9% midday Thursday, led by a rebound in semiconductor stocks after Micron Technology announced a $3 billion investment in U.S. chip manufacturing. The move follows plans to allocate over $250 billion to domestic facilities over the next decade, boosting confidence in the sector.
The S&P 500 gained 0.6%, while the Dow Jones Industrial Average lagged with a 0.3% increase. Micron surged 7.5%, with Advanced Micro Devices and Broadcom rising 7.2% and 3.3%, respectively. The iShares Semiconductor ETF climbed 5.2%, offsetting declines in software and hyperscaler stocks like Alphabet.
Investor optimism also stemmed from reports of potential diplomatic progress in the Iranian conflict, easing concerns over oil prices. Major indexes rebounded after two days of losses, though sustainability remains uncertain.