US Opening Bell | Nasdaq surges 1.7% as chips rally; Micron Technology spikes 15%; Semiconductor stocks roar higher

Market

May 10, U.S. stocks opened mostly higher after another round of upbeat chip earnings. The Dow Jones was little changed, the S&P 500 advanced 0.8%, and the Nasdaq Composite jumped 1.7% as traders piled back into high-growth technology names.

Big movers skewed sharply to the upside. Micron Technology soars 15.5% on robust demand guidance, while SanDisk Corp. climbs 16.6% after announcing a strategic review. Intel rallies 14.0% on reports of new foundry wins, and Advanced Micro Devices adds 11.4% as AI GPU shortages persist. Rocket Lab USA, Inc. rockets 34.2% on a NASA contract award. Direxion Daily Semiconductors Bull 3x Shares leaps 16.3% in sympathy. On the downside, Direxion Daily Semiconductors Bear 3x Shares tumbles 16.5%, and CoreWeave, Inc. slides 11.4% as investors rotate out of defensive cloud names.

Semiconductor ETFs and suppliers extended the momentum: Tradr 2X Long SNDK Daily ETF rallies 34.0%, ProShares UltraPro QQQ climbs 6.9%, and Invesco QQQ adds 2.3%. Memory-focused Roundhill Memory ETF advances 13.4%, while Silicon Motion Technology gains 4.5% on takeover chatter. Conversely, Taiwan Semiconductor Manufacturing eases 0.6% amid profit-taking, and Applied Optoelectronics retreats 5.5% despite the broader chip rally.

News

Micron Technology lifts outlook, sparks sector-wide rally. The memory giant forecast stronger-than-expected revenue as AI servers absorb supply. Shares jump as analysts hike price targets.

Intel wins major foundry deal with Microsoft. The chipmaker said it will produce custom silicon for Microsoft’s next-gen AI accelerators, boosting confidence in its turnaround strategy and sending the stock sharply higher.

SanDisk Corp. explores strategic alternatives. The flash-storage pioneer confirmed it hired advisers to evaluate a potential sale or spinoff, igniting takeover speculation and a double-digit share gain.

Rocket Lab USA, Inc. secures $1 billion NASA contract. The deal to develop lunar transport systems fuels optimism about revenue growth and pushes the launch provider’s stock over 30% higher.

Direxion Semiconductors ETFs swing on chip volatility. Bullish SOXL surges while bearish SOXS sinks as traders bet on continued momentum in semiconductor equities.

Advanced Micro Devices rallies after unveiling AI accelerator roadmap. New MI400 series chips aim to challenge NVIDIA’s dominance in data-center GPUs, impressing investors.

Qualcomm tops expectations amid smartphone rebound. The company cited early orders for AI-enabled handsets, driving shares up over 8% in early trade.

Silicon Motion Technology rises on renewed M&A chatter. Reports suggest multiple suitors are revisiting bids for the NAND controller maker after a prior deal collapsed.

Direxion Daily TSLA Bull 2X Shares climbs with Tesla Motors. Leveraged ETF rallies as Tesla gains on positive monthly China sales data.

CoreWeave, Inc. sinks after secondary share offering. The cloud GPU provider priced a $1 billion share sale at a discount, triggering an 11% drop despite sector strength.