Stock Markets May 8, 2026 02:13 PM

Tech Stocks Lead Wall Street Rally as Memory, Chip Names Hit Fresh Highs

AMD, Intel and memory suppliers drive gains while oil producers pull back amid shifting Middle East developments

By Derek Hwang MU CVX INTC QCOM NVDA

U.S. equities climbed to record levels on Friday, recovering from the prior session as strength in semiconductor stocks and a stronger-than-expected April jobs report lifted the market. Chipmakers from AMD and Intel to Nvidia and memory names registered sizable moves, while large energy names retreated amid evolving developments in the Strait of Hormuz and reports of potential diplomatic progress.

Tech Stocks Lead Wall Street Rally as Memory, Chip Names Hit Fresh Highs
MU CVX INTC QCOM NVDA

Key Points

  • Semiconductor sector led gains as chip and memory stocks, including AMD, Intel, Micron and SanDisk, reached new highs.
  • Nvidia recovered momentum and hit all-time highs with support from a reaffirmed Goldman Sachs Buy rating and $250 price target ahead of its upcoming results.
  • Oil producers retreated amid easing crude prices and reports of potential diplomatic progress involving the U.S. and Iran, while regional tensions in the Strait of Hormuz kept some volatility in play.

Wall Street pushed to new intraday records on Friday, building on a rebound that followed losses earlier in the week. Market upside was concentrated in chipmakers and memory suppliers, with several technology-related names reaching fresh highs, while major oil companies slipped as crude prices eased amid reports suggesting a possible diplomatic thaw in the Middle East.

Investors were also monitoring tensions in the Strait of Hormuz and wider regional developments, but for many of the largest-cap technology and semiconductor companies the week was broadly positive.


AMD

Advanced Micro Devices reported first-quarter results on Tuesday that exceeded consensus expectations, a report that helped propel the stock sharply higher. Over the past week, AMD's shares rose more than 26%, and by Friday the stock had climbed an additional 9.1%, trading at new highs.

Bernstein analyst Stacy Rasgon commented on the move, noting: "We have continually been surprised not only by the strength of AMD’s business but also by the strength of the stock. That being said, while many stocks have been climbing strictly on vibes lately the company deserves significant credit for a fundamental story that increasingly is looking real."


Intel

Intel, which had already rallied strongly the prior week, extended that advance this week with a gain of 36.3%, pushing the share price above $126 as of 13:40 ET on Friday. The latest leg higher followed reports that Intel has reached a preliminary agreement to manufacture chips for Apple devices.


Memory suppliers

Memory stocks continued to rally, led by Micron Technology and SanDisk, both of which hit new highs once again on Friday. Micron climbed 44% over the past week while SanDisk advanced 42.4% during the same period. SanDisk’s latest quarterly report topped expectations on both revenue and earnings, a development that contributed to the stock’s strength.


Nvidia

Nvidia reversed several months of lackluster performance to post renewed gains this week, reaching new all-time highs. The stock increased by roughly 7% over the last week and was trading near $215.25 per share during the session.

Goldman Sachs reaffirmed its Buy rating and $250 price target for Nvidia ahead of the company’s results scheduled for May 20. Analyst James Schneider outlined the conditions that could support a multiple re-rating, writing: "Although the stock has lagged peers and now trades at a meaningful discount relative to history, we believe the stock's multiple can re-rate if we see evidence of: (1) improving profitability metrics at hyperscalers that supports sustained spending growth; (2) proliferation of agentic AI signaling broader enterprise adoption; (3) more visibility into deployments at non-traditional customers."


IREN

Shares of IREN rose sharply this week, gaining 31.4% after the company announced a strategic partnership with Nvidia to deploy up to 5 gigawatts of AI infrastructure across IREN's global data center pipeline. The agreement calls for deployment of NVIDIA's DSX-aligned AI infrastructure and accelerated compute systems in AI factories intended to serve startup and enterprise customers.


Qualcomm

Qualcomm shares climbed to their highest level since June 2024 on Friday. The move was supported by a mix of factors cited by market participants, including the broader AI momentum trade, OpenAI working with Qualcomm (and MediaTek) on smartphone processors, an invitation from U.S. President Trump for senior executives to join him on a trip to China next week, and an upgrade from Daiwa analysts.


Oil sector pullback

Energy names pulled back as crude eased following reports that a peace deal could be possible between the U.S. and Iran, a development that weighed on oil prices. Although fresh clashes in the Strait of Hormuz have kept traders uneasy, several large oil producers fell over the week: Exxon Mobil, Chevron, Occidental Petroleum, Devon Energy and ConocoPhillips all posted declines as hopes of an agreement tempered price support.


Market takeaway

This week’s market action highlighted divergent sector performance: semiconductor and memory stocks drove the equity advance and produced multiple new highs, while energy stocks moved lower amid shifting geopolitical headlines and lower crude prices. The market’s narrow leadership underscores how sector-specific developments - company earnings beats, strategic partnerships, analyst commentary and geopolitical updates - are currently the primary forces moving individual equities and market segments.

Risks

  • Geopolitical developments in the Middle East, including clashes in the Strait of Hormuz, create ongoing uncertainty for energy markets and oil-sector equities.
  • Company-specific execution risks remain as markets are reacting to earnings beats, partnership announcements and analyst views, which could reverse if fundamentals disappoint.
  • Market concentration in a few high-performing technology and memory names could lead to heightened volatility if sentiment shifts or upcoming results fail to meet elevated expectations.

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