U.S. markets extend tech-led rally as Micron surge lifts chip stocks

Traders Union
All News
Financial News
US markets tech rally

Highlights

Micron shares surge over 19% Tuesday and another 9% premarket, pushing its market cap above $1 trillion and boosting semiconductor stocks.
Brent oil jumps more than 3% as Iran promises retaliation following U.S. self-defense strikes, heightening geopolitical risks for energy markets.
Dick's Sporting Goods stock falls premarket after Q1 earnings per share of $2.90 misses $2.92 estimate, citing Foot Locker turnaround costs.

Chip rally drives premarket focus

As reported by CNBC, Micron is at the center of the market's latest momentum after its shares jump more than 19% on Tuesday and add another 9% before the bell. The move pushes the chipmaker's market capitalization above $1 trillion for the first time and helps lift broader technology names.

Other semiconductor stocks are moving higher as well, with the Roundhill Memory ETF reaching a record high. South Korean chipmaker SK Hynix also joins the $1 trillion club overnight as investors continue buying AI-linked semiconductor companies.

The strength is not spreading evenly across the market. AutoZone posts its worst session since 2022 despite earnings that top expectations, while Ferrari's U.S. shares fall 5% after the release of its first all-electric vehicle.

Politics, earnings and deal talk shape sentiment

In Texas politics, Attorney General Ken Paxton defeats Senator John Cornyn in the Republican Senate primary, securing the party's nomination for the 2026 midterm election. Paxton, who recently wins President Donald Trump's endorsement, is set to face Democratic state legislator James Talarico in a race expected to become one of the most expensive in the U.S.

At the White House, Trump is meeting with his Cabinet after the session is moved from Camp David because of what he calls bad weather conditions. The meeting comes after U.S. self-defense strikes on Iran raise doubts about a potential peace deal, and Brent oil prices climb more than 3% in Tuesday's session after Iran promises retaliation.

In corporate news, Dick's Sporting Goods trades lower in premarket activity after reporting first-quarter earnings per share of $2.90, just below Wall Street's $2.92 estimate, even as revenue beats expectations. The company says costs linked to Foot Locker's turnaround weigh on results.

Investors are also watching possible strategic moves involving Elon Musk's companies. Sources tell CNBC that Musk has discussed with colleagues the possibility of combining SpaceX with Tesla, while American Airlines says it will install SpaceX's Starlink in-flight internet service on more than 500 aircraft.

Our earlier coverage of Micron’s surge past a $1 trillion market capitalization highlighted how premarket trading was being shaped by sharp sector divergences tied to earnings and guidance. We noted that the milestone boosted Micron’s profile and institutional interest, while also flagging overbought conditions that could lead to a near-term consolidation around the $850–$920 zone.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.