US chip stocks attempt a comeback after brutal Friday rout
BUZZ-US chip stocks attempt a comeback after brutal Friday rout ** Shares of U.S. chipmakers rise in premarket trading, regaining some poise following a punishing selloff on Friday
** Nvidia NVDA.O and Micron MU.O rise 1.4% and 3.8%, respectively
** Marvell Technology MRVL.O jumps 7.1% on inclusion into the prestigious S&P 500 index .SPX
** Broadcom AVGO.O, which reignited fears around AI after a weaker-than-expected quarterly revenue print last week, gains 1.4%
** The PHLX semiconductor index .SOX dropped 10.3% during Friday's session, in what was its worst day since March 2020
** The broader Nasdaq Composite index .IXIC shed 4.2% after a stronger-than-expected U.S. jobs report reignited bets of a rate hike by the Federal Reserve this year
** However, some analysts say the retreat was healthy and the pullback was long overdue following equities hitting record highs
** "Despite the sharp moves, a correction of this magnitude following a sustained advance is consistent with healthy market dynamics," says Fabien Yip, market analyst at IG
** Underlying corporate fundamentals remain solid, even as risks from upcoming inflation prints linger, Yip says
** Despite Friday's rout, the SOX is up 72.5% YTD and is on course for its third best year on record
(Reporting by Niket Nishant in Bengaluru)