Semiconductor stocks in the United States are booming, pushing their market capitalization to record levels. The group now accounts for 12.1% of the S&P 500’s total capitalization, double what it was just three years ago. The chip sector is making a spectacular comeback, even as the Trump administration’s tariff war continues.
Nvidia alone accounts for 56% of the total market capitalization of the semiconductor industry. Broadcom is second with 20%. After regaining the position of the world's most valuable company, Nvidia set a new record with a market capitalization of $3.8 trillion. Microsoft still holds the second position in the capitalization ranking.
Nvidia dominates the chip market
Nvidia has added $1.42 trillion in value since its April low, a 63% gain in less than three months. Meanwhile, the $SOX chip index has gained 111% over the past three years, far outpacing the S&P 500’s 61% gain. Chip stocks are up nearly 15% in June alone, leading the broader market and outpacing every other sector.
Nvidia broke a record high of $155.50 on Thursday, surpassing its January record of $149.43. Other chip stocks benefiting from the AI effect include Marvell Technology, which rose 5%, Credo and Allegro, which rose 2%, while Astera Labs jumped 8%.
US semiconductor stocks have never been bigger:
The Semiconductor sector now reflects a record 12.1% of the S&P 500’s total market value.
This share has DOUBLED over the last 3 years, as semiconductor stock prices have skyrocketed.
During this time, the semiconductor index,… pic.twitter.com/zTB59pgBRN
— The Kobeissi Letter (@KobeissiLetter) June 26, 2025
Despite the solid quarter, Micron shares fell 1.4%. However, the stock has nearly doubled since its April low and is currently trading around $125.15.
While Wall Street is in a frenzy over the chip industry, US politics is still playing “monetary chess” with the Federal Reserve. According to news, Trump is considering replacing Chairman Jerome Powell before his term ends in 2026 because he believes the Fed is too slow to lower interest rates.
The news has reversed market expectations, with odds for a Fed rate cut in July rising to 25%, double last week's 12.5%.
China Turns to Gold Amid Tariff Tensions
Trump’s 90-day tariff reprieve is set to end on July 9. Barring further action, tariffs could rise to 50% on EU goods, 30% on Chinese goods, and 10% on a global basis. Meanwhile, the S&P 500 has gained about 1,200 points since the reprieve was announced.
As the United States continues to play the tariff game and fears of an economic recession, China appears to be taking a different financial strategy. The share of the US dollar in China’s foreign exchange reserves has fallen to 22%, the lowest in 15 years. The price of gold has also doubled, hitting a record $6.8 thousand an ounce.
Since 2022, China has bought 200 tons of gold, a move that clearly demonstrates its strategy of de-dollarizing its foreign exchange reserves.
While Bitcoin, the largest cryptocurrency, is recovering strongly, AI-related cryptocurrencies are not making much of a breakthrough. The top 5 AI cryptocurrencies are all in the red on most indices. Bittensor (TAO) is down 29% in the past 30 days and is trading at $320.
Similarly, Near Protocol (NEAR) also fell by about 30% in the same period. The total AI cryptocurrency market capitalization fell by 3% in the past 24 hours to $27.08 billion.
Bitcoin maintained its lead as it was boosted by a wave of widespread adoption, trading around $107,409, just 4.1% below its all-time high of $111,900.
Source: https://tintucbitcoin.com/co-phieu-chip-my-dan-dau-thi-truong/
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