Business · Markets · 1 hr ago
US tech stocks rebound as chip shares recover, rate concerns persist
US technology stocks rebounded on Friday after a sharp selloff the previous day.
Chipmakers led the recovery, with Nvidia, AMD and Micron among the companies whose shares rose.
The selloff followed concerns that stronger AI regulation could come after Democrats’ midterm election victory.
The Nasdaq and S&P 500 rose, but reports gave different closing figures; the Dow’s direction also differed between reports.
October added 165,000 US jobs, well above forecasts, and unemployment fell to 4.1%.
That strength raised expectations of a Federal Reserve rate increase in December, with market estimates putting the chance at 75% to 78%.
The rebound did not erase the wider slide: the Nasdaq and S&P 500 were still down for a fourth straight week, and investors remain wary of AI-related stocks.
US technology shares rebounded on Friday as semiconductor stocks recovered from steep losses in the previous session.
Reports gave differing closing figures: one put the Nasdaq up 1.73%, while two others reported a 1.09% gain.
The rebound followed a sharp selloff linked to worries about tighter regulation of AI and data-centre infrastructure after the US midterm elections.
Stronger-than-expected jobs data raised concerns that the Federal Reserve could raise interest rates in December.
Despite Friday’s gains, reports said major indexes remained down for the week and investor unease over AI-related stocks persisted.
- Who
- US technology and semiconductor companies, alongside investors trading their shares.
- What
- US stocks rebounded, led by chip shares, after a steep selloff. Strong jobs data also raised concern about a possible December rate hike.
- When
- Friday, November 6, 2026.
- Where
- US stock markets, including the New York Stock Exchange.
- Why
- Investors bought shares after the previous session’s steep losses, which followed concerns about tighter AI and data-centre regulation. Strong jobs data increased rate concerns.
This story does not have two clearly opposing sides.
US technology shares fell sharply amid concerns about tighter AI and data-centre regulation after the midterm elections.
The Nasdaq fell 5.52% in one report and entered correction territory.
Semiconductor and AI-related shares rebounded, lifting the Nasdaq and S&P 500 in reports from multiple outlets.
US data showed October payrolls rose by 165,000 and unemployment fell to 4.1%, prompting higher market expectations of a December rate hike.
- Nasdaq
- Reported Friday gains ranged from 1.09% to 1.73%.
- Semiconductor index
- Rose 4.2% to 4.6% in reports.
- October payrolls
- Increased by 165,000.
- Unemployment rate
- 4.1%.
- December rate hike probability
- Reports put it at 75% or 78%, up from about 70%.
4 sources
What people are saying
Those are strong numbers and normally that would say that the Fed would have to be more on the hawkish side
The flip side of that is that what we saw yesterday and how volatility has spiked, will the Fed want to raise interest rates in the face of a market which is teetering?