Chips bounce back as Oil slips and Asia takes the baton
US equity markets rebounded after a long weekend, led by semiconductor stocks, as crude oil prices declined and Asian markets extended the recovery.
US markets staged a recovery on Tuesday following an extended weekend, reversing some of the steep losses seen in the AI sector last week. The bounce was led by chipmakers, which had been hit hardest during the previous selloff.
Crude oil prices slid during the session, providing a tailwind for equities. Meanwhile, Asian markets picked up the positive sentiment, continuing the overnight rally and adding to the upside momentum.
The move reinforces the pattern seen throughout the current cycle: Wall Street tends to buy dips, even after sharp corrections in high-flying technology names.
Source: FXStreet Forex News