New York, Jan 17, 2026, 04:56 EST — Markets have closed.
- Shares of Super Micro Computer jumped roughly 11% Friday, closing at $32.64 on unusually heavy volume.
- The jump followed a wider rally in chip and AI-related stocks after TSMC reported robust demand and increased its 2026 capital expenditure forecast.
- U.S. markets were closed Monday for the holiday, shifting focus to Tuesday’s reopening and a packed earnings calendar ahead.
Super Micro Computer (SMCI) surged roughly 11% in Friday’s U.S. session, closing near $32.64 after fluctuating between $29.62 and $32.97. Trading volume hit about 79 million shares.
The AI server maker gained momentum after Taiwan Semiconductor Manufacturing Co’s positive forecast boosted the semiconductor sector and calmed worries over high tech valuations. “That’s been kind of squashed … with the news from Taiwan Semiconductor,” said Alan Lancz, president of Alan B. Lancz & Associates. (Reuters)
The broader market barely budged Friday, with U.S. stocks closing nearly flat ahead of the long weekend. Chipmakers, however, pushed higher. Investors are bracing for volatility after monthly options expiration, when many contracts roll off. “Most investors will take that as a win,” said Anthony Saglimbene, chief market strategist at Ameriprise Financial. He pointed out the S&P 500 remains within striking distance of 7,000 as earnings season kicks off next week, featuring Netflix, Johnson & Johnson, and Intel. (Reuters)
TSMC, the leading producer of advanced AI chips, surprised with a quarterly profit that beat forecasts and expects its 2026 revenue to jump nearly 30%. The company also set its 2026 capital expenditure between $52 billion and $56 billion, covering factories and equipment. CEO C.C. Wei issued a caution despite the bullish outlook: “We’re also very nervous about it.” Ben Barringer, head of technology research at Quilter Cheviot, noted the results highlight how TSMC “ultimately benefits as the key manufacturer” of premier AI chips. (Reuters)
For Super Micro, the takeaway is clear. Once investors grow confident that chip supply and AI expansion remain on track, they rush toward the companies assembling the racks and boxes inside data centers.
That goes both ways. Super Micro’s stock often acts as a fast barometer for the AI capex cycle, so its moves can seem amplified when positioning gets crowded and volume surges.
Friday’s session fell on a packed spot in the calendar. With options expiration, hedges unwind and traders shift positions into fresh contracts, often driving stocks beyond what the headlines alone would justify.
Competitive pressure looms over the sector. While AI infrastructure spending boosts chip designers, server manufacturers, and component suppliers, it also sparks price wars and tighter customer deals as companies jockey for the same deployments.
The risk remains that the AI trade could prove fragile. Should customers delay rollouts or earnings season dent confidence in growth spending, high-beta stocks like SMCI might tumble as quickly as they have climbed.
Tuesday, Jan. 20, will bring the next key moment as U.S. markets reopen and Netflix releases its earnings. Investors will be watching not just the numbers but also the fallout from its proposed Warner Bros deal—a reminder that unrelated tech news can still shake risk appetite throughout the market. (Reuters)
