NEW YORK, Jan 3, 2026, 12:39 ET — Market closed
- The iShares Semiconductor ETF rose 4.2% on Friday, outperforming the broader market.
- Micron jumped 10.5% and Intel gained 6.7%, leading large-cap chipmakers higher.
- Investors are watching next week’s U.S. jobs report (Jan. 9) and inflation data (Jan. 13) for the next catalyst.
U.S. semiconductor stocks powered higher in the last session before the weekend, pushing the iShares Semiconductor ETF up 4.2% on Friday. Micron Technology and Intel led the advance, as investors rotated back into chip names to start 2026.
The market is closed on Saturday, leaving investors to digest Friday’s move and size up what it means for the first full week of trading in the new year. The sector’s rebound comes with key U.S. economic data due in the days ahead.
Chip stocks matter right now because they sit at the center of spending on data centers and artificial intelligence hardware, while also carrying valuations that can swing quickly when interest-rate expectations change. That makes the group particularly sensitive to big macro releases early in January.
The VanEck Semiconductor ETF rose 3.7% on Friday, mirroring the jump in the broader chip complex.
Micron (MU) surged 10.5%, while Intel (INTC) gained 6.7%. Advanced Micro Devices climbed 4.3% and Taiwan Semiconductor Manufacturing’s U.S.-listed shares rose 5.2%.
Micron’s jump followed fresh analyst commentary. Bernstein SocGen Group analyst Mark Li lifted his price target to $330, citing firming DRAM pricing; DRAM is a widely used type of memory in PCs and servers.
Chip-equipment makers also rallied. ASML rose 8.7% after Aletheia Capital upgraded the company to “buy” from “sell” and doubled its price target to $1,500, citing a brighter outlook for demand for extreme ultraviolet (EUV) lithography tools—machines used to print the finest features on advanced chips. Investing
Lam Research gained 8.1%, while Applied Materials and KLA climbed 4.6% and 4.9%, respectively, as investors bid up the companies that supply the manufacturing backbone for leading-edge chips.
Among the biggest U.S. chip names, Nvidia rose 1.2%, while Broadcom and Qualcomm ended modestly higher. The Philadelphia SE Semiconductor Index was up 4% on the day, and investors were “more conscious about some of the valuations that they’re paying for some of the AI plays,” Joe Mazzola, head of trading & derivatives strategist at Charles Schwab, told Reuters.
The chip rally came against a mixed backdrop for broader equities, with bond yields rising even as investors returned to selected growth pockets. That combination can be unstable for the sector if economic data forces a repricing of rate-cut expectations.
Before the next session, traders will focus on the U.S. employment report for December, due at 8:30 a.m. ET on Friday, Jan. 9. A surprise in wages or hiring can quickly spill into Treasury yields and, by extension, high-multiple chip stocks.
Inflation is next. The Consumer Price Index report for December is scheduled for 8:30 a.m. ET on Tuesday, Jan. 13, a potential swing factor for rate expectations that tend to drive sentiment in semiconductors.
On the sector calendar, Taiwan Semiconductor is set to hold its fourth-quarter earnings conference call on Thursday, Jan. 15 at 1:00 a.m. Eastern Time, while ASML is scheduled to report Q4 and full-year 2025 financial results on Wednesday, Jan. 28. Those events are expected to be closely watched for signals on leading-edge capacity, AI-related demand and capital spending plans.
Technically, SOXX finished at 313.69 after trading between 306.33 and 315.80 on Friday. Investors will be watching whether the sector can build on the breakout, with the 306 area a near-term line that would signal whether buyers are defending the latest move.
