A surge in semiconductor stocks and Microsoft’s $450 billion market cap increase drove a broad market rebound.
U.S. stocks staged a sharp rebound as semiconductor stocks surged 8.5%, leading a broader tech rally. Microsoft added $450 billion in market capitalization, reversing recent losses and fueling optimism about AI-driven growth.
The rally followed a period of volatility, with tech stocks under pressure amid concerns over valuation and macroeconomic uncertainty. Semiconductors, a key barometer for AI demand, had lagged in prior sessions but rebounded strongly.
Markets reacted positively to the shift, with investors re-evaluating the sector’s long-term prospects despite short-term fluctuations.