New York, Feb 2, 2026, 09:33 (ET) — Regular session underway.
- Micron dropped roughly 4.8% in early trading Monday, lagging behind the wider chip ETFs.
- TrendForce raised its Q1 DRAM contract price forecast to a 90%–95% increase, up from the previous quarter’s estimate.
- Attention shifts to memory pricing trends and Micron’s investor conference set for Feb. 11.
Micron Technology (MU.O) dropped 4.8%, hitting $414.88 in early Monday trading as semiconductor shares tumbled broadly to kick off the week. The iShares Semiconductor ETF slipped roughly 4.1%.
This shift is significant since Micron focuses solely on memory pricing, and new industry forecasts suggest another steep rise in quarterly contract rates. These contract prices, which serve as benchmark figures in talks with major buyers, usually feed directly into revenue and margin projections.
The market’s been jittery lately, and chip stocks are acting like a high-beta gauge of risk appetite. Early sell-offs can easily drown out even positive signals from the industry.
On Monday, TrendForce revised its forecast sharply higher for conventional DRAM contract prices, now expecting a 90% to 95% surge in the January-March quarter compared to the previous quarter—up from an earlier estimate of 55% to 60%. The firm also boosted its outlook for NAND flash contract prices to a 55% to 60% increase, pointing to “persistent AI and data center demands” that continue to widen supply shortfalls. (TrendForce)
Contract prices don’t track the rapid shifts of the spot market since they’re set for a fixed period, often a quarter, between suppliers and major buyers. When contract prices swing this sharply, investors begin rethinking who holds pricing power—and for how long.
Macro jitters added to the pressure. According to a Reuters report, a sharp drop in precious metals followed CME Group’s hike in margin requirements, sparking a spillover into stocks. Jim Baird, chief investment officer at Plante Moran Financial Advisors, called it a “ripple effect” and noted that investors are changing where they seek leadership. (Reuters)
Micron faces off against Samsung Electronics and SK hynix in DRAM and high-bandwidth memory, the stacked chips that power AI processors in data centers. Because of this, any ongoing increase in negotiated memory prices can swiftly alter near-term earnings expectations.
Timing remains the key swing factor. Large price jumps often trigger increased supply down the line, and even a hint that demand from cloud and enterprise clients is plateauing can swiftly pressure memory stocks, despite forecasts pointing to continued tightness.
Micron will give investors another near-term update on Feb. 11, when its executives speak at the Wolfe Research Auto, Auto Tech and Semiconductor Conference in New York, the company announced. Traders will focus on any remarks about supply, pricing, and capital spending following Monday’s early slide. (Micron)
