Nasdaq rallies as AI heavyweights rebound ahead of midterm results

What happened

On Tuesday, the Nasdaq rallied as AI-related chip shares rebounded: Nvidia rose 3%, Micron 2.1%, and AMD 5.5% ahead of its quarterly results. Apple fell 1.8% after warning that rising memory-chip costs would pressure its holiday-quarter gross profit rate. Microsoft and Amazon each gained about 2%.

Confirmed

Global impact / market context

The move points to investors shifting money from Apple toward chipmakers, even as concerns remain that heavy AI infrastructure spending may exceed near-term cash generation. For Apple, higher memory-chip costs could reduce profit on holiday sales; chipmakers may benefit from stronger investor demand.

Analyst inference

The Nasdaq-100 had closed more than 10% below its October 6 record on Monday, meeting the article’s description of a correction, or a fall of at least that size. The S&P 500 was about 3% below its record but remained up 11% in 2026.

Confirmed

What to watch

1. AMD’s quarterly results were due after Tuesday’s market close; investors can compare its reported performance with the rebound in its shares and assess whether expectations were met. Confirmed
2. Apple warned that memory-chip costs would continue rising and pressure its holiday-quarter gross profit rate; the article provides no later cost outlook or margin result. Confirmed
3. If AI infrastructure spending keeps exceeding near-term cash generation, worries about spending could weigh on major technology companies despite gains in chip shares. Analyst inference

Evidence

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