New York, January 23, 2026, 06:31 EST — Premarket
- Intel plunged 13.6% in premarket trading after issuing a weak outlook tied to supply bottlenecks for AI data-center chips
- Futures on major stock indexes dipped, with Nasdaq 100 contracts dropping 0.35% in early U.S. trading
- This week’s loaded earnings calendar has investors searching for proof that AI spending is driving profit growth
Intel shares tumbled 13.6% in premarket trading Friday, weighing heavily on AI-focused chip stocks and pulling U.S. stock futures down. By 5:57 a.m. ET, Nasdaq 100 futures were down 0.35%, with S&P 500 futures off 0.23%. (Reuters)
Intel’s shares dropped sharply after the company warned of a supply shortage for server CPUs crucial to AI data centers, alongside Nvidia’s GPUs, which handle intensive AI tasks. CEO Lip-Bu Tan admitted to analysts, “In the short term, I’m disappointed that we are not able to fully meet the demand in our markets.” CFO David Zinsner noted that cloud customers “were all a little bit caught off guard.” (Reuters)
Wall Street heads into a busy earnings stretch with investors watching closely to see if the AI spending boom is boosting profits, not just capital outlays. “It’s important just to hear … that they are continuing to push these uses and initiatives forward,” said Yung-Yu Ma, chief investment strategist at PNC Financial Services Group, as megacap heavyweights prepare to report—stocks that often sway the indexes. (Reuters)
Costs are shifting within the AI supply chain. Global memory-chip prices have surged as AI infrastructure buildouts consume available supply, pushing up input costs for PCs and smartphones. This spike raises concerns about demand later in the year. “It is certainly going to show up as higher prices for consumers,” said Emarketer analyst Jacob Bourne. Reuters also noted that Apple is set to report earnings on January 29. (Reuters)
Intel’s warning landed hard, especially after the stock rocketed 84% last year and jumped about 47% just this January, fueled by heavy hitters like Nvidia, SoftBank, and the U.S. government. Bernstein analysts acknowledged the server cycle as “real” but slammed Intel for “woefully misjudging it.” Jefferies flagged Intel’s shrinking cloud market share against AMD and ongoing product issues. Reuters estimated the premarket drop could erase roughly $31 billion in market value if it holds. (Reuters)
The broader AI trade hinges on one main idea: data-center expansions continue to grow, and chip components — GPUs, server CPUs, memory, and networking gear — stay scarce. Intel’s earnings miss reveals how bottlenecks can move around, proving that supply constraints can still throttle revenue even when demand is strong.
Downside risks are on the table, too. Ongoing memory shortages and climbing component prices might curb PC upgrade demand, weighing on chip volumes and pricing. Should cloud firms scale back AI spending, the stocks with the highest multiples could take a swift hit.
On Thursday, key AI players pushed higher: Nvidia ended the day at $184.84, AMD at $253.73, and Microsoft closed at $451.14. Arm finished at $119.20, while Super Micro Computer came in at $32.45. Intel wrapped up at $54.32 but slipped in early trading Friday.
Traders are focused on the Federal Reserve’s policy decision on January 28. Then, all eyes turn to earnings and guidance from key AI players, including Apple’s report on January 29. Investors will scrutinize any changes in commentary on data-center demand, component supply, and profit margins. (Federalreserve)
