The VanEck Semiconductor ETF (SMH) has gained 77.13% in just over five months, far outpacing the S&P 500's 10.61% return year-to-date. This surge is driven by strong AI-related capital expenditures across the semiconductor supply chain, including chip design, foundry, memory, and equipment sectors. Key companies like AMD, Broadcom, Micron, Taiwan Semiconductor, NVIDIA, and ASML contribute to this broad-based rally. Continued growth depends on sustained hyperscaler capex, strong data center revenue, and increasing supply commitments, while valuation risks and potential demand slowdowns remain watch points.
Semiconductor and memory stocks unexpectedly rose following a stronger-than-expected August jobs report showing 162,000 new payrolls versus 56,000 expected. This rally contrasts with declines in most non-AI stocks, suggesting some selling pressure in...
The robotics sector, including ETFs like BOTZ, ROBO, and ARKQ, presents early-stage growth opportunities but requires investors to be patient and manage position sizes carefully. Industrial robotics, which benefits from measurable demand and recurrin...
The LLM Token Expenditures Index dropped nearly 60% in the second quarter, indicating a sharp decline in AI-related capital spending. This drop comes as global yields rise, increasing the cost of capital for major tech companies (hyperscalers) and sq...
