Technology stocks bounced on Wednesday after President Donald Trump ruled out using military force in Greenland. His statement eased geopolitical concerns that had triggered a global sell-off earlier in the week.
Chip Stocks Lead the Gains
Chipmakers led the tech sector rally. Intel jumped 11%, while Advanced Micro Devices and Arm Holdings rose about 9% and 8%, respectively. Micron Technology and Marvell Technology gained at least 5% each.
Early Week Sell-Off
Tech stocks fell on Tuesday after Trump announced new tariffs on eight countries opposing a U.S. attempt to acquire Greenland. This came as world leaders gathered in Davos, Switzerland, for the World Economic Forum.
Calmer Geopolitical Outlook
Trump softened his rhetoric on Wednesday, ruling out military action. Other agenda items for his team in Switzerland include a potential peace deal between Russia and Ukraine and Greenland negotiations.
Broader Tech Market Gains
Elsewhere in the sector, Tesla and Nvidia gained more than 2%. Meta Platforms added roughly 1.5%, while Amazon, Salesforce, and Apple edged higher.
