Key facts
- The SOX chip index has nearly doubled in the first half of 2026.
- Intel and Marvell Technology shares more than trebled, Micron Technology quadrupled, and Sandisk climbed over 700%.
- The 'Magnificent Seven' tech megacaps are down 4% year-to-date.
- Microsoft shares have fallen 24%, and Meta shares are down almost 15%.
- Oil prices have returned to pre-Iran war levels.
- Japan's yen has reached 40-year lows without central bank intervention.
U.S. chip stocks have experienced a significant boom in the first half of 2026, with the SOX chip index nearly doubling. This surge is attributed to increased AI capital expenditure by major tech companies, often referred to as hyperscalers. Individual companies like Intel, Marvell Technology, Micron Technology, and Sandisk have seen their share prices more than triple, quadruple, or even climb over 700% respectively.
Despite the success of chip manufacturers, the large-cap tech companies driving this demand, known as the 'Magnificent Seven,' have lagged, with the group collectively down 4% for the year. Microsoft has seen a substantial decline of 24%, and Meta is down nearly 15%.
In other market news, oil prices have retreated to pre-Iran war levels, with peace talks anticipated. However, Federal Reserve rate-hike expectations persist for the latter half of the year due to recent data suggesting a potentially overheating U.S. economy. The Japanese yen has fallen to 40-year lows without intervention, despite warnings, with speculative short positions reaching a two-year high.
Comcast announced a significant corporate restructuring, planning to spin off its media and entertainment units, including NBCUniversal and Sky, into a separate company. The U.S. Supreme Court issued a narrow ruling preventing President Trump from firing Fed Governor Lisa Cook before her case is heard.