U.S. markets are experiencing modest gains, buoyed by a proposed 15-point peace plan aimed at easing tensions in the Middle East, despite Iran’s outright rejection and ongoing conflicts. The S&P 500 and Nasdaq 100 futures are up approximately 0.15%, reflecting optimism around potential diplomatic resolutions. However, volatility remains high as the situation evolves, with crude oil prices retreating nearly 5% amid reports of successful maritime transit in the Strait of Hormuz.

A standout development is Arm Holdings, whose shares surged 15% following its announcement to manufacture its own AGI CPUs, targeting $15 billion in annual sales with Meta as its first client. This strategic pivot marks a significant shift from its traditional licensing model and has prompted analysts to upgrade the stock to “Outperform,” highlighting its transformative potential in the semiconductor space.

Market professionals should closely monitor the implications of geopolitical tensions on supply chains, particularly for companies like Nvidia, which may face helium supply risks essential for semiconductor production. A resolution in the Middle East could provide much-needed momentum for broader market gains.

StoxFeed tracks this as a market signal: AI and semiconductor stocks are driving tech sector gains

Source: xtb.com