Micron Technology Inc., the largest US maker of computer memory chips, reported a quarterly sales forecast that significantly exceeded analyst estimates on June 24, reigniting investor confidence in the artificial intelligence trade [1, 2, 3, 4, 5, 6, 7]. Micron’s stock surged about 13-15% after market close following the strong forecast, driving gains in related technology shares [1, 2, 3, 4, 5, 6, 7]. Kyle Rodda, analyst at Capital.com, said Micron “far exceeded analyst expectations and, crucially, forecast robust future chip demand,” helping US futures recover losses from earlier cash trading [7].
US stock futures rallied after Micron’s announcement, with Nasdaq 100 futures rising around 1.8-2% and S&P 500 futures climbing about 0.5-0.7% [1, 3, 4, 8, 7]. On June 25, Wall Street’s main indexes rose: Dow Jones added 160.1 points (0.31%) to 52,009.02, the S&P 500 gained 46.7 points (0.63%) to 7,404.91, and the Nasdaq Composite increased 248.1 points (0.97%) to 25,724.78 [9].
Asian markets responded strongly, fueled by Micron’s outlook and growing AI sector optimism. South Korea’s Kospi surged 5-6%, while Japan’s Nikkei and Taiwan’s tech-heavy indexes also rose sharply [1, 10, 2, 4, 5, 6, 7]. SK Hynix announced plans to list on the US stock market aiming to raise about US$29 billion, capitalizing on AI-driven memory demand [10, 3, 6, 7].
Oil prices fell sharply amid easing supply concerns and progress in US-Iran peace talks, with Brent crude closing below US$74 a barrel, wiping out gains made during wartime disruptions [1, 2, 3, 4, 6, 7, 11]. The drop pressured energy stocks even as tech and growth sectors gained.
Investor optimism benefited bond markets as well. The US Federal Reserve’s preferred inflation gauge was due for release soon, with easing inflation worries helping bond yields fall and fueling the tech rally [2, 4, 6, 7]. Meanwhile, JPMorgan Chase and Goldman Sachs raised dividend payouts after passing Fed stress tests, signaling stronger bank fundamentals [2].
Market watchers saw Micron’s forecast as a validation of AI-driven chip demand. Chris Strazzeri, financial dealing manager at Moomoo Australia and New Zealand, noted that Micron’s results “boosted tech sentiment overall,” following a period of valuation discipline in AI-related stocks [6]. Rick Gardner of RGA Investments added that days when tech stocks dip may present buying opportunities, as the sector remains fundamentally strong [2]. Mark Hackett of Nationwide viewed recent tech weakness as rotation and repositioning rather than a warning sign [2].
In related news, AIA Malaysia launched AIA Infinite, a wealth management product targeting high net worth individuals adapting to changing wealth priorities [2, 3, 6].
Investors will watch for the upcoming US inflation data release and the progress of SK Hynix’s planned $29 billion US stock listing as markets continue to digest strong AI sector momentum and easing energy tensions.
