Gotrade News — Wall Street shrugged off last week's chip-driven slump Monday morning, with the majors opening green as beaten-down semis found bids and traders braced for a monster earnings week from Big Tech.
The S&P 500 climbed 0.42% to 7,489.18 right out of the gate. The Nasdaq jumped harder, up 0.79% to 25,720.87. Meanwhile the Dow barely budged, adding a token 0.02% to 52,154.57. Numbers via Investing.com
Last week's damage came from a familiar corner. Worries that cheaper Chinese AI models are quietly rewriting the demand math for high-end silicon, taking a bite out of the sector's valuation premium. But dip buyers didn't wait long. They showed up Monday, hours before some of the biggest names in tech step up to the earnings mic.
S&P 500, Nasdaq, and Dow all opened in the green Monday, with semis doing most of the work.
Nvidia, AMD, Intel, and Micron all clawed back after last week's rout.
Tesla and Alphabet headline a packed Q2 earnings slate that kicks off Wednesday.
Chipmakers Lead the Rebound: NVDA, AMD and MU Climb at the Open
Semiconductors did the heavy lifting. Nvidia (NVDA) picked up 1.74% to $206.33.AMD ran harder, up 3.49% to $513.07 as the market kept chewing on its new Helios rack partnership with Microsoft Azure (per Investing.com). Memory was where the real action lived. Micron popped 4.28% to $885.33, Intel tacked on 3.68% to $98.54, and SanDisk led everyone with a 5.57% jump to $1,430.32.
Stock
Move
Price
Nvidia (NVDA)
+1.74%
$206.33
AMD
+3.49%
$513.07
Intel (INTC)
+3.68%
$98.54
Micron (MU)
+4.28%
$885.33
SanDisk (SNDK)
+5.57%
$1,430.32
Tesla and Alphabet Headline a Packed Q2 Earnings Week
The bounce sets up a make-or-break stretch for the AI trade. Barchart's options data has Tesla (TSLA) and Alphabet both due Wednesday, July 22. The options market is bracing for a swing of about 7% on Tesla and 6.6% on Alphabet. Same day: IBM (implied move around 6.8%) and ServiceNow, where the tape is pricing in a hefty 12.5% jolt. Then Intel closes out the week on Thursday carrying the biggest implied vol of the bunch 14.9%.
Tesla's the marquee event here. Consensus is looking for roughly 12% year-over-year revenue growth, but nobody really cares about the headline number right now. What everyone wants to see is whether the AI narrative around robotaxis and Optimus actually converts into something resembling profit, that's the question The Motley Fool keeps circling back to. With cheaper competition already pressuring the sector's AI premium, forward guidance probably matters more than whatever prints on Wednesday night.
So where does that leave the tape? For now, constructive, but jumpy. A quiet Dow, a livelier Nasdaq, money rotating back into growth. But it wouldn't take much. One earnings miss from a megacap, one soft guide to flip the mood in a hurry. The real question through Wednesday is simple. Does the chip bounce actually hold?
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