AI chip stocks extended their rebound for a second consecutive session on Tuesday following a sharp selloff on Friday. Leading the gains were memory manufacturer Micron (MU), which jumped 4%, alongside SanDisk (SNDK) and custom chipmaker Marvell Technology (MRVL). Investors are looking ahead to Wednesday’s critical Consumer Price Index report, which could influence the sector’s momentum. Marvell’s shares continued to rise after news of its upcoming inclusion in the S&P 500 index, though the stock did experience a sharp correction, indicating lingering market resistance.
AI chip stocks rallied for a second day, building on Monday’s rebound after Friday’s market selloff. Micron (MU) stock jumped 4% on Tuesday, extending its recovery from the prior session.
SanDisk (SNDK) and custom chipmaker Marvell Technology (MRVL) also saw significant gains. Investors are hopeful chip stocks will benefit from a favorable inflation report due Wednesday.
The Consumer Price Index for April rose at its fastest annual pace in nearly two years. The ongoing US-Iran war has been cited as a primary catalyst for the inflation hike in 2026.
Micron has been a leader in the recent chip stock rally, having topped a $1 trillion market cap last month. Other firms like Samsung Electronics and SK Hynix also crossed the $1 trillion threshold recently.
Analysts raised their price targets for SanDisk (SNDK) amid this week’s sector rally. Marvell Technology is set to join the S&P 500 index as of June 22.
News of its inclusion sent shares soaring on Monday, with gains extending into Tuesday. However, MRVL did suffer a sharp correction on Tuesday, hinting at resistance likely tied to the impending CPI report.
