New York, Jan 18, 2026, 05:39 (EST) — Market closed
- SMCI shares surged nearly 11% on Friday, closing at $32.64 on trading volume close to 79 million shares
- U.S. stock markets will be closed Monday in observance of Martin Luther King Jr. Day; trading resumes Tuesday
- Traders are eyeing if the AI-hardware rally can sustain itself through the late-January macro events
Shares of Super Micro Computer (SMCI) jumped roughly 11% on Friday, ending the day at $32.64. Around 79 million shares traded as investors shifted focus back to AI-related hardware stocks known for their volatility.
This matters since U.S. markets will be closed Monday for Martin Luther King Jr. Day, extending the break to a three-day weekend. Investors won’t get another shot to build on—or pull back from—Friday’s gains until Tuesday’s session. (New York Stock Exchange)
A note on Nasdaq.com linked the jump to a wider rally in chip stocks and a fresh wave of AI enthusiasm after Taiwan Semiconductor posted strong results. Super Micro makes servers used in data centers powering AI workloads — a spot in the supply chain that often sees sharp moves when AI demand heats up again. (Nasdaq)
The stock’s been volatile, even for its usual mood swings. After slipping for three days earlier this week, it pulled off a second consecutive gain. On Friday, shares changed hands between $29.60 and $32.98, closing out the session at $29.42 the previous day, according to Investing.com data. (Investing)
Positioning is heating up. As of Dec. 31, roughly 87.7 million shares were sold short, making up about 17.6% of the public float, according to MarketBeat. Short interest measures the shares borrowed and sold by traders wagering on a price drop. If the stock jumps quickly, some short sellers rush to cover losses by buying back shares, which can drive the price even higher. (MarketBeat)
The company highlighted new liquidity, unveiling a $2 billion revolving credit facility set to mature in 2030 on Jan. 6. CEO Charles Liang described it as offering “additional financial flexibility” to back operations and growth plans. (Supermicro)
Sentiment on the Street has turned bullish once more for semiconductors. Jefferies analyst Blayne Curtis said this week he expects the chip rally to run through 2026. That outlook could keep high-beta infrastructure stocks active, even when there’s little company-specific news. (Barron’s)
Macro remains the dominant force on the tape. On Friday, Federal Reserve Vice Chair Philip Jefferson said the Fed’s current policy stance puts it “well positioned” to decide when to adjust rates next, with markets eyeing the central bank’s late-January meeting. Typically, fast-growing tech stocks react first to shifts in rate expectations. (Reuters)
The downside is straightforward. If investors start doubting AI-server demand or if rising component costs squeeze margins further, Friday’s gains could vanish fast. With heavy short interest, momentum can swing sharply the other way.
Traders will watch for follow-through when markets open Tuesday. Then two key dates fall side by side: FINRA’s next official short-interest report drops Jan. 27, while the Fed meets Jan. 27-28. Either could spark fresh volatility for SMCI. (Finra)
