Market Update: Semiconductor Surge Offsets Media Slump as Fed Rate Cut Hopes Grow
Microchip Technology (MCHP) shares soared 12.2% after raising quarterly guidance, signaling resilience in semiconductor demand. The upbeat forecast from the microcontroller specialist lifted peer chipmakers, contrasting sharply with media sector woes.
Paramount and Netflix shares declined as Warner Bros. Discovery evaluates competing acquisition offers. The divergence highlights shifting capital flows toward tech hardware amid ongoing media consolidation.
Broad market indices advanced amid softening labor data, with traders pricing in higher probability of imminent Fed easing. The semiconductor rally demonstrates how cyclical sectors now lead risk appetite - a dynamic that historically bodes well for crypto assets' correlation with tech equities.