What’s going on here?

Tech and semiconductor stocks climbed higher as investors bet on strong demand for Apple’s next iPhone and a fresh surge in artificial intelligence and data center investments.

What does this mean?

The tech sector’s momentum was clear: the Technology Select Sector SPDR Fund rose 0.6%, the SPDR S&P Semiconductor ETF added 2.9%, and the Philadelphia Semiconductor Index gained 2%. Fueling the rally, Apple’s upcoming iPhone 17 is already stirring excitement, with especially long wait times reported in China. Recent supply chain checks show Apple could ramp up production to at least 90 million units in late 2025, nudging past earlier estimates. Morgan Stanley kept its upbeat view and nudged Apple’s price target to $298. Meanwhile, Meta tightened its process for releasing AI research, aiming for more responsible innovation—a move that sent shares up 1.2%. Microsoft, despite recent softness, continues to invest heavily in next-gen cloud firms, pouring over $33 billion into boosting AI data center capacity.

Why should I care?

For markets: Rising tech tides lift chips and big tech.

Hardware demand and AI investment are fueling fresh optimism across tech and chip stocks. Investors are zeroing in on how surging consumer demand boosts device makers, while cloud infrastructure and AI spending hit new highs. The strong inflows into sector ETFs suggest markets are prepping for another growth cycle as generative AI catches on, pointing to potential long-term outperformance.

The bigger picture: AI and smartphones propel the next tech wave.

Apple’s production plans and Microsoft’s billion-dollar cloud push highlight how consumer electronics and artificial intelligence are driving major shifts across the global tech landscape. These trends reflect a move toward greater device adoption and more powerful computing. That dual focus is set to define where tech goes next—and could shape growth for years to come.

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What’s going on here?

Tech and semiconductor stocks climbed higher as investors bet on strong demand for Apple’s next iPhone and a fresh surge in artificial intelligence and data center investments.

What does this mean?

The tech sector’s momentum was clear: the Technology Select Sector SPDR Fund rose 0.6%, the SPDR S&P Semiconductor ETF added 2.9%, and the Philadelphia Semiconductor Index gained 2%. Fueling the rally, Apple’s upcoming iPhone 17 is already stirring excitement, with especially long wait times reported in China. Recent supply chain checks show Apple could ramp up production to at least 90 million units in late 2025, nudging past earlier estimates. Morgan Stanley kept its upbeat view and nudged Apple’s price target to $298. Meanwhile, Meta tightened its process for releasing AI research, aiming for more responsible innovation—a move that sent shares up 1.2%. Microsoft, despite recent softness, continues to invest heavily in next-gen cloud firms, pouring over $33 billion into boosting AI data center capacity.

Why should I care?

For markets: Rising tech tides lift chips and big tech.

Hardware demand and AI investment are fueling fresh optimism across tech and chip stocks. Investors are zeroing in on how surging consumer demand boosts device makers, while cloud infrastructure and AI spending hit new highs. The strong inflows into sector ETFs suggest markets are prepping for another growth cycle as generative AI catches on, pointing to potential long-term outperformance.

The bigger picture: AI and smartphones propel the next tech wave.

Apple’s production plans and Microsoft’s billion-dollar cloud push highlight how consumer electronics and artificial intelligence are driving major shifts across the global tech landscape. These trends reflect a move toward greater device adoption and more powerful computing. That dual focus is set to define where tech goes next—and could shape growth for years to come.

ADVERTISEMENT

IN PARTNERSHIP WITH THE AVERAGE JOE

The Average Joe strips markets down to what matters, giving you financial insights you’ll actually use. 

It’s read by more than 200,000 people… and roughly one in five are millionaires.  

Do they read it because they’re rich, or are they rich because they read it?  

We don’t run those studies.

👉Get the free newsletter