US Chip Stocks Rebound as Geopolitical Tensions Ease, Lifting Nasdaq

Key Facts

US stocks ended mostly higher on Monday as investors returned to semiconductor shares following a recent selloff. According to reports, the Nasdaq Composite advanced 0.86%, while the S&P 500 added 21.99 points to close at 7,405.73. Signs of easing tensions between Iran and Israel helped improve overall market sentiment, encouraging a shift back into growth-oriented sectors.

This recovery follows a period of volatility where major tech players faced pressure from rising yields and geopolitical uncertainty. Per market data, the Eurozone reported an annual inflation rate of 3.2% on June 2, 2026, highlighting a global environment of persistent price pressures. However, dip-buying in the chip sector remains a dominant theme as institutional investors re-evaluate valuations after the recent technical correction.

Looking ahead, market participants should watch the S&P 500 at its current level of 7,405.73 (close June 8, 2026) for signs of consolidation. Key catalysts in the upcoming calendar include the US JOLTs Job Openings report and a scheduled speech by Fed official Kashkari, both of which will be critical in determining the next direction for interest rate expectations.