US Stocks Rebound After Micron Earnings

US equity futures gained on Thursday after the earnings report by Micron Technology restored support for the artificial intelligence trade. Contracts for the Nasdaq 100 gained over 2% and those for the S&P 500 added 1%. Micron surged 17% premarket after beating earnings and sales expectations and estimating approximately a revenue of $50 billion in the quarter to August, above the expectations of $43.2 billion. Stability for the AI infrastructure sector was also supported by Micron unveiling 16 longer-term contracts. Also, Qualcomm jumped 15% after the chipmaker doubled its projection for non-handset revenue in the next thee years and announced a partnership with Meta. Softer inflationary risks also supported broader sectors as energy prices also continued fall and PCE price indices refrained from overshooting expectations, lifting the Dow to a record high of over 52,000. Banking shares gained as lenders will raise their dividends after passing the Federal Reserve's stress test.

US equity futures gained on Thursday after the earnings report by Micron Technology restored support for the artificial intelligence trade. Contracts for the Nasdaq 100 gained over 2% and those for the S&P 500 added nearly 1%. Micron surged nearly 20% premarket after beating earnings and sales forecasts expectations and estimating approximately a revenue of $50 billion in the quarter to August, above the average expectations of $43.2 billion. Stability for the AI infrastructure sector was also supported by Micron unveiling 16 longer-term contracts. Also, Qualcomm jumped 15% after the chipmaker doubled its projection for non-handset revenue in the next thee years and announced a partnership with Meta. Softer inflationary risks also supported broader sectors as energy prices also continued fall, lifting the Dow to a record high of over 52,000. Banking shares gained as lenders will raise their dividends after passing the Federal Reserve's stress test.

Nasdaq 100 futures climbed 2% on Thursday after Micron Technology’s strong earnings outlook reinforced optimism surrounding the artificial intelligence sector. S&P 500 futures advanced 0.6%, while Dow futures added 0.1%. In after-hours trading, Micron shares soared more than 15% after the memory-chip maker posted fiscal third-quarter results that exceeded expectations and forecast current-quarter revenue of $50 billion, sharply higher than $11.3 billion a year earlier and above analysts’ estimate of $43.58 billion. Qualcomm also rallied 13% after lifting its fiscal 2029 non-handset revenue target to $40 billion from a previous forecast of $22 billion. Other semiconductor-related stocks moved higher as well, including Sandisk, Western Digital, Marvell Technology, Applied Materials, and Lam Research. Investors are now awaiting the latest PCE price index report, the Federal Reserve’s preferred measure of inflation.