Index closes
Stocks rallied hard. The Nasdaq 100 led, up 3.4% to 27,908. The Russell 2000 rose 3.15% to 2,841. The S&P 500 gained 2.35% to 7,550, and the Dow added 2.15% to 52,390.
Macro & after the close
Investors returned to equities after last week's selloff. The Dow jumped more than 1,000 points, and all eleven S&P 500 sectors finished higher, led by industrials. Nvidia moved against the market after its board opened an independent investigation tied to reports about CEO Jensen Huang. That weighed on the AI trade at the open.
Themes
Semiconductors ▲ median +8.55%: MPWR +16.60%, ALAB +13.72%, AMD +13.26%, MRVL +9.49%, ON +9.16%, AVGO +8.78%, and 7 more
Networking & optical ▲ median +9.96%: COHR +16.79%, LITE +10.69%, CIEN +10.66%, GLW +9.25%, ANET +9.00%, CSCO +5.11%
Semiconductor equipment ▲ median +9.86%: TER +12.73%, AMAT +11.37%, LRCX +10.41%, KLAC +9.31%, Q +6.91%, ASML +6.21%
Semiconductors: The group rose, with a median gain of 8.55%. Monolithic Power Systems (MPWR) climbed 16.6%, Astera Labs (ALAB) 13.72% and AMD 13.26%. Buyers came back to AI infrastructure names amid a broad tech rally.
Networking & optical: The group gained a median 9.96%. Coherent (COHR) rose 16.79%, Lumentum (LITE) 10.69% and Ciena (CIEN) 10.66%. Investors returned to AI infrastructure shares after last week's tech selloff, which was tied to fears of tighter data center rules.
Semiconductor equipment: The group rose, with a median gain of 9.86%. Teradyne (TER) gained 12.73% and Applied Materials (AMAT) 11.37%.
