New York, January 5, 2026, 11:59 ET — Regular session
- Applied Materials shares jump about 7% and touch a record high in late-morning trading.
- Chip-equipment peers rise broadly, with ASML gaining after a Bernstein upgrade.
- Traders are watching Friday’s U.S. jobs report for the next read on rates and risk appetite.
Applied Materials (AMAT.O) shares were up about 6.7% at $286.96 on Monday, after touching an intraday record of $287.68.
The chipmaking-equipment supplier is a lever on capital spending: it sells wafer-fab tools, the machines used to manufacture semiconductors, so sentiment can swing quickly with expectations for customer spending.
The stock’s move tracked a sharp bid for the equipment group. Lam Research rose about 6.3% and KLA gained roughly 7.2%, while U.S.-listed ASML added nearly 6%.
In Europe, ASML shares climbed after Bernstein upgraded the stock to “outperform” from “market perform” and lifted its price target to 1,300 euros from 800 euros, a Reuters report showed. Reuters
The equipment rally is landing on top of renewed focus on AI-led demand for the memory chips that feed data-center buildouts. Shares of top memory makers rose on Monday as investors bet on further price gains from a supply crunch tied to artificial-intelligence infrastructure, Reuters reported.
Applied was also outperforming the broader chip complex. The iShares Semiconductor ETF was up about 2.4% in morning trading.
The broader tape helped. Wall Street’s main indexes pushed higher on Monday as energy and financial stocks rose, and investors looked for tech to steady after a volatile stretch into year-end.
Chris Larkin, managing director for trading and investing at E*TRADE from Morgan Stanley, said the first week of the new year could “revolve around whether tech will find its footing.” Reuters
But policy risk remains a live overhang for Applied. The company has said expanded U.S. export curbs would cut about $600 million from fiscal 2026 revenue, underscoring how quickly rules on China-linked shipments can bite into guidance.
The next macro catalyst comes Friday, when the U.S. government releases the December employment report at 8:30 a.m. ET — a print that can shift rate expectations and, in turn, valuations for growth-heavy chip stocks.
Applied has not announced its next earnings date; market calendars estimate results around mid-February. For the near term, traders will be watching whether Friday’s jobs data reinforces — or undercuts — the risk-on bid behind Monday’s record run.
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