Stock futures staged a volatile two-day run this week, driven by a sharp pullback in oil prices and renewed anxiety over China’s growing semiconductor ambitions. The sharp swings in AI-linked and chip stocks are catching the attention of crypto traders who track risk-on sentiment across markets.
On Monday, easing U.S.-Iran tensions sent crude oil tumbling more than 5%, lifting stock futures and dragging down energy giants like ExxonMobil and Chevron by roughly 3%. Chip stocks rallied ahead of major tech earnings, with Broadcom climbing 2.7% after inking a $200 billion memorandum of understanding with Samsung Electronics through 2030 for memory and foundry chips. Sandisk jumped 5% and Marvell added 4%, while Nvidia inched higher on reports of a potential $250 billion financing round for OpenAI’s data center project.
The mood soured quickly on Tuesday. AI-linked names tumbled in premarket as fresh concerns emerged over Chinese competition. A report that a state-backed Chinese firm is mass-producing chip-making machines hammered ASML, which fell 4.4% on top of a 5.8% loss the day before. Sandisk dropped 5.5%, Intel slid 4%, and Marvell fell 3.9%. Even Nvidia retreated. Only Apple bucked the trend, reclaiming its spot as the world’s most valuable company.
Amid the turbulence, a few bright spots appeared. Celestica surged on a 62% revenue jump and a raised full-year forecast, while Applied Digital rallied after reporting 407% revenue growth and successful AI capacity deployment. Johnson & Johnson rose on a $5.5 billion talc settlement, and UPS gained on strong earnings.
For the crypto market, the whipsaw in risk assets is a reminder of how macro narratives can quickly shift. Easing geopolitical fears and falling oil prices are generally tailwinds for speculative assets, but the emergence of credible Chinese chip competition could weigh on the AI trade that has lifted both tech stocks and crypto AI tokens. With the Federal Reserve also holding a policy meeting this week, inflation risks tied to energy and trade remain firmly on the radar.
