Chip Stocks Experience Resurgence on Renewed AI Adoption

Tech-Led Bounce Lifts Stocks Amid Speculation of Artificial-Intelligence Trade

The stock market rebounded on speculation that the artificial-intelligence trade has more room to run, lifting chipmakers and halting a rout in semiconductor firms. The dollar rose, while oil steadied. The Nasdaq 100 climbed 1.3% as traders bet that the industry's investment boom will continue to support solid earnings.

Broadcom Inc. Jumps on Expanded Partnership with Apple Inc.

Broadcom Inc., a leading semiconductor firm, jumped after expanding its partnership with Apple Inc. SK Hynix Inc. kicked off the formal marketing process for its US listing, while investors awaited Samsung Electronics Co.'s results on Tuesday. Chipmakers just wrapped up their best quarter on record, but the rally has wavered due to concerns over rising competition, potential overcapacity, and the payoff from massive AI investments.