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Semiconductor stocks surge as markets brace for Fed rate hike in December.

14 Nov 2026, 08:00 WIB
Seeking Alpha
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Bullish
Semiconductor stocks surge as markets brace for Fed rate hike in December.

Semiconductor stocks rallied strongly, with AMD up 13.3%, Applied Materials 11.4%, and LAM Research 10.4%, amid a broader market rally where the S&P 500 rose 2.5% and the Dow 2.1%. The bond market now fully prices in a 25 basis point Fed rate hike in December, with a small chance of a larger 50 basis point increase. This dynamic reflects investor caution as Treasury yields rise, creating mixed pressures on tech bonds despite bullish sentiment in tech stocks. The market's recent rally appears driven by concerns about potential downturns, prompting a short-term squeeze in stocks.

Applied Materials trades at USD 370.50 with a 1-day change of -2.74% on Pluang as of Nov 14, 2026 13:21 WIB, showing a pullback despite the recent rally in semiconductor stocks. Lam Research is priced at USD 225.92, down 3.36% in the last day, reflecting some profit-taking or caution among investors. This contrasts with the strong weekly gains noted in the news, highlighting short-term volatility amid broader market optimism and rising Treasury yields.

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