New York, Feb 7, 2026, 14:17 ET — The market has closed.
- After getting slammed by an earnings-driven selloff, AMD shares staged a strong rebound to close out the week.
- Chip stocks jumped in a late-week risk-on surge, with investors rethinking worries about AI spending.
- Next week, the tech sector could see its rate outlook shift again as the rescheduled U.S. payrolls and inflation numbers land.
Advanced Micro Devices (AMD.O) ended Friday’s session 8.2% higher at $208.44, clawing back some recent losses after a turbulent week that hit chipmakers hard on guidance and AI competition concerns.
That rebound stands out. Earlier, AMD’s sharp drop underscored just how fast traders can dump “AI winners” if expectations aren’t met. Now, with a slew of U.S. data due next week, bets on rate cuts are back in focus—and growth stocks usually feel it first.
Chip stocks powered Friday’s comeback across U.S. risk assets, with the Philadelphia semiconductor index soaring 5.7% after dropping for three sessions. Traders sized up surging 2026 AI budgets from Big Tech; Robert Pavlik at Dakota Wealth said technical buying showed up fast once the selloff “overdone” signals flashed. 1
AMD shares tumbled 13% earlier this week after the company projected first-quarter revenue around $9.8 billion, give or take $300 million—down from the prior quarter, though just ahead of the average analyst target. Bernstein’s Stacy Rasgon called the results little more than “inline” if you strip out the lift from AI chip sales to China. CEO Lisa Su pointed to ramping demand for next-gen AI servers coming in the second half. 2
China sales remain at the center of the discussion around AMD’s short-term prospects. Reuters reported that AMD pulled in $390 million from specific AI chip sales to China in the fourth quarter, with another $100 million baked into its forecast for the current quarter. CEO Lisa Su called the outlook “dynamic.” Bob O’Donnell, who heads TECHnalysis Research, pointed out that hopes for “large blowout quarters” have shifted what the market expects. 3
Supply trends aren’t any clearer. Intel and AMD have notified Chinese clients that server CPU deliveries could take longer, sources familiar with the matter told Reuters. Some AMD chips now face waits stretching eight to ten weeks. AMD insists its global demand outlook is solid, citing established agreements with suppliers and its relationship with Taiwan’s TSMC. For certain products, Intel has flagged potential lead times reaching up to six months, according to the same report. 4
Still, that bounce hasn’t closed the debate. While tight supply props up prices, it can just as easily limit how much gets shipped—and investors have shown scant tolerance for even a whiff of delay in AMD’s AI rollout.
Next up for investors: macro data with dates to mark. The U.S. Employment Situation report for January drops Wednesday, Feb. 11 at 8:30 a.m. ET, followed by the January CPI two days later—Friday, Feb. 13, same hour. Both releases carry the potential to rattle yields, swinging high-multiple chip names like AMD. 5
