Key facts
- The SOX chip index nearly doubled in the first half of 2026.
- Intel, Marvell Technology, Micron Technology, and Sandisk shares saw substantial gains.
- The 'Magnificent Seven' tech stocks are down 4% year-to-date.
- Microsoft shares have fallen 24% and Meta shares are down almost 15%.
- Oil prices have retreated to pre-Iran war levels.
- Japan's yen is at 40-year lows.
- Comcast plans to spin off its media and entertainment units.
- The U.S. Supreme Court ruled narrowly on President Trump's ability to fire Fed Governor Lisa Cook.
Global stock markets have experienced a volatile first half of 2026, with the MSCI All-Country World index gaining nearly 10%, or approximately $7 trillion in market capitalization. This growth occurred despite significant geopolitical turmoil, including the Iran war, which caused a $9 trillion market drop in March when oil prices surged to $120 a barrel and dashed hopes for lower interest rates.
AI-related chip stocks have seen a remarkable boom, with the SOX chip index nearly doubling. Companies like Intel, Marvell Technology, Micron Technology, and Sandisk have experienced share price increases of over 300%, 300%, 400%, and 700% respectively. This surge is attributed to increased capital expenditure by major tech companies, often referred to as hyperscalers, for AI development.
Conversely, the 'Magnificent Seven' tech giants have lagged, with the group collectively down 4% year-to-date. Microsoft shares have fallen 24%, and Meta shares are down nearly 15%.
In other markets, oil prices have returned to pre-Iran war levels, with anticipation of peace talks. However, Federal Reserve rate-hike expectations persist due to data suggesting a potentially overheating U.S. economy. Japan's yen has fallen to 40-year lows without central bank intervention, despite warnings, and speculative short positions have reached a two-year high. The dollar has seen a broader 3% rise.
Comcast announced plans 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.