Happy Friday! Another strong day in the QQQs finishing +2% — still some dispersion in performance (ARKK only up 1.4%), but stocks acting really good on good news: just check out SMCI, PYPL, DELL, GTLB, AMD, MRVL past few days. So far things moving right way to start the year with good longs and good shorts both working. Hard to argue with the price action. Crude finished flat, China got a bid mid day — heard some stimulus rumors and Global Times article speaking to more conciliatory US x China.
In semis, big mover of the day: SMCI +36% to new highs on their positive pre-announcement, which was the biggest magnitude pre we’ve so far from them. Any sort of AI news is being bought up significantly: see AMD another +7% and even DELL +6% today on just a +ve Bernstein note mentioning strong AI demand/opportunity. Other AI stocks followed suit: AVGO +6% past our $1,200 tgt we laid out just a month, CDNS/SNPS +5%, MRVL +4%, MU +3%. TXN +4% on a UBS upgrade. QCOM +4.5% as investors get excited about AI at the edge and new phones coming out touting that functionality. ARM continued its ascent +6%.
Keep reading with a 7-day free trial
Subscribe to TMT Breakout to keep reading this post and get 7 days of free access to the full post archives.