US semiconductor stocks bucked the broader market weakness on Monday, with SanDisk, Micron Technology, AMD and SK Hynix among the major chipmakers trading higher as investors continued to favour artificial intelligence-linked stocks.
SanDisk Corp shares rose 2.72% to $1,524.84, while Micron Technology gained 0.99% to $942.05. AMD shares advanced 0.54% to $467.85 after rising as much as 2% during the session. SK Hynix ADR climbed 1.63% to $163.67, while Intel edged up 0.16% to $89.61 after gaining as much as 2%.
The gains came despite pressure across the broader US equity market. The S&P 500 slipped 0.5%, while the Nasdaq Composite also declined 0.5%. The Dow Jones Industrial Average fell around 340 points, or 0.6%, dragged lower by losses in Goldman Sachs and Alphabet.
The divergence highlights continued investor interest in semiconductor and AI-related stocks even as broader markets face profit-taking and mixed sentiment.
AI Stocks Remain August Winners
Technology stocks have remained among the strongest performers this month, with artificial intelligence-linked companies leading the gains. The S&P 500 technology sector has risen nearly 6% in August. Nvidia has gained more than 7%, while Microsoft and Micron Technology have advanced around 9% and 14%, respectively.
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The broader market has also posted strong monthly gains. The Dow is up more than 1% month-to-date and is on track for its fifth consecutive monthly advance. The S&P 500 and Nasdaq are headed for their first monthly gains since May, rising around 2% and 3%, respectively.
Both the Dow and S&P 500 also touched record highs earlier in August.
The continued strength in chip stocks comes as investors assess the long-term demand outlook for AI infrastructure, data centres and advanced memory. Semiconductor companies are increasingly viewed as key beneficiaries of the expansion in AI computing capacity.
The rise in semiconductor stocks came alongside a sharp increase in crude oil prices. Brent crude rose 5.25% to $90.64 a barrel at 7:00 p.m. IST, while US West Texas Intermediate gained 3.37% to $86.21 a barrel at 7:14 p.m. IST.
The sharp move in oil adds another variable for investors to monitor, particularly as higher energy prices could influence inflation expectations and the outlook for interest rates. For chip stocks, however, investor focus remains firmly on the AI-driven earnings and capital-spending cycle, which continues to provide support even as the broader US market pauses after its recent gains.
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