U.S. stock markets, chip sector gains sharply, leading index on Jensen’s remarks

01/06 U.S. stock markets, chip sector gains sharply, leading index on Jensen’s remarks

The U.S. stock market started higher on the back of strong semiconductor and pharmaceutical bio companies, with Fed Director Myron referring to interest rate cuts of more than 100bp. In particular, SanDisk (+27.56%) led the surge, citing comments by Nvidia (-0.47 percent) and Jensen Huang, CEO at CES. However, as profit-taking sales are still going on, some of the large tech stocks and energy-related stocks are falling, differentiation is also characterized (Dow +0.99 percent, Nasdaq +0.65%, S&P 500 +0.62 percent, Russell 2000 +1.37 percent, Philadelphia Semiconductor Index +2.75%)

*Factors to Change: CEO Jensen Hwang’s Remarks Effect and Supply and Demand Focus

After the previous day’s close, Nvidia (-0.47%) CEO Jensen Huang announced new AI models and software (Cosmos, Alphamayo, Agent AI), and industrial and robotics partnerships with Vera Rubin platform, the next generation of hardware. The market continues to strengthen by using this as a new upward engine, but there is an excessive concentration of supply and demand to specific companies and industries mentioned in Jensen Huang’s remarks. In other words, the theme market, which simply uses whether or not to mention as a material for the rise rather than a change in corporate fundamentals, has become thicker.

In fact, when Sandisk (+27.56%) emphasized the importance of memory for Jensen Huang’s reasoning and agent AI implementation, it surged. Of course, Mizuho and other Wall Street rated it positively, saying that the benefits of the AI market are expanding from simple processors to memory and storage, which are essential infrastructure. Of course, the company’s recent solid demand forecast, long-term supply contracts, and news of the launch of a new high-performance SSD lineup are combined to drive the market. The related stocks include other semiconductor companies and equipment companies, which continue to rise and drive the market.

Other than that, sub-robotics (+3.31%), Uber (+5.95%), Agility Robotics (+5.95%), and Neuro (emergency) mentioned in the semiconductor design and manufacturing segment. Synopsis (+2.95%), Cadence (+4.46%), TSMC (+1.61%), and Micron (+10.02%). ServiceNow (+0.82%), Snowflake (+4.53%), Palantir (+3.26%), and NetApp (+1.47%) mentioned in the enterprise AI sector rose. On the other hand, Tesla (-4.14%) fell due to competition issues when Nvidia announced the world’s first self-driving AI Alpha Mayo as an open source, and related companies fell due to Rubin’s remarks that cooling is possible without a cooling system. Eventually, CEO Jensen Huang’s remarks determined the strength of the stock

Meanwhile, Fed Director Myron evaluates that base inflation is close to the target (2 percent) and predicts solid growth in the U.S. economy this year. However, he mentioned that this outlook cannot be maintained unless the Fed cuts interest rates. Based on this, he argues that a rate cut of more than 100 basis points this year is justified because the current monetary policy is clearly tight. However, the reaction between government bond rates and the dollar is limited. Rather, the stock market rises, interpreting it as a liquidity supply issue. After all, the current market selectively responds only to materials that can justify the logic of rising more than fundamentals

*Featured Stocks: SanDisk, Micron Surges, Strategies Surges After Hours

Semiconductors: Nvidia Launches New Products, AMD Falls
Nvidia (-0.47%) turned downward amid disappointment that there was nothing new to affect Nvidia, although CEO Jensen Huang’s remarks at CES included the full-scale production of next-generation chips. AMD (-3.04%) announced the release of new AI chips and a long-term roadmap, but it fell due to disappointment. In particular, AMD’s assessment that it may not be easy for AMD to secure a market share is also a burden on the news of Nvidia’s full-fledged production of next-generation chips. Broadcom (+0.10%) will release BCM4918, a next-generation APU, and new dual-band Wi-Fi 8 devices, BCM6714 and BCM6719

Semiconductors: Storage Companies, including SanDisk, Surge
Storage companies such as SanDisk (+27.56 percent), Western Digital (+16.77 percent), and Seagate (+14.00 percent) surged as Jensen Huang emphasized the importance of memory and reflected expectations of increased demand for AI data centers. Micron (+10.02%) surged when Jensen Huang directly mentioned that he placed Micron parts in the Vera Rubin board description. Microchip Tech (+11.65%) surged after raising its earnings and sales guidance. As a result, NXP Semiconductor (+9.86 percent), Texas Instruments (+8.43 percent), On Semiconductor (+5.23 percent), and Analog Devices (+5.64 percent) also rose. Following the previous day, RAM Research (+6.26%) said 2026 is the year of semiconductor equipment. AMAT (+4.11 percent) and KLA (+3.15%) also rose. Philadelphia Semiconductor Index rose 2.75%

AI, Chip Design, Cooling, Nuclear Power: Design Companies Rise, Cooling Sector Fall In wake of Jensen Hwang’s remarks
Synopsis (+2.95%) and Cadence (+4.46%) rose as Jensen Huang mentioned that Rubin chips could not be made without them. Cooling equipment companies such as Modine Manufacturing (-7.46%), Johnson Controls (-6.24%) and Train Tech (-2.52%) fell on concerns of a drop in demand for related equipment after Jensen Huang announced that the next generation of Rubin chips could be cooled without a separate cooler. Nuclear power companies such as Oclaw (+7.01%) and NewsCale Power (+4.21%) are strong on expectations that demand for infrastructure will continue to increase.

Automobiles: Tesla Falls In wake of Jensen Huang’s comments Vs. Lithium-Related Shares Surge
Tesla (-4.14 percent) fell due to concerns over intensifying competition due to sluggish vehicle sales in Europe and CEO Jensen Huang’s announcement of Alpha Mayo, the world’s first self-driving AI. Furthermore, the company gained ground the previous day due to improved relations with Trump, but today, it was sold for profit-taking. GM (-1.17 percent) fell on news that its U.S. auto sales fell by 7 percent year-on-year. Of course, the figure will rise by 6 percent in 2025, limiting the decline. Ford (+2.45%) was 2.14 percent year-on-year in the fourth quarter.