Semiconductor Shares Rallied, With Nvidia Jumping 5%

Tiger Newspress09-19 22:47

Semiconductor shares rallied on Thursday. Nvidia, AMD, ASML rose over 5%; Applied Materials, TSMC, Broadcom rose over 4%.

The gains came after the Fed voted in favor of a half-point cut over a quarter-point, signaling to investors that the central bank is now ready to prioritize propping up the economy over curbing inflation.

That's seen as good news for the whole market, including Nvidia and other semiconductor makers.

The PHLX Semiconductor Index, a gauge tracking stock prices across the sector, has tumbled about 16% over the past three months, with chip companies' shares dragged down by worries that an economic slump could slow the rapid rise in demand for artificial intelligence products. The Fed's latest move -- and signal that it will reduce borrowing costs by another 50 basis points over the rest of 2024 -- could ease those fears.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

Leave a comment
1
1