Chip stocks rebound after AI selloff, but analysts warn of more volatility

Summary

Shares of Nvidia, AMD and other chip companies rebounded after a sharp selloff in AI-linked stocks, as dip buyers emerged despite solid economic readings that reinforced speculation the Federal Reserve will raise interest rates in December. MarketWatch asked whether the 'violent' selloff is over, and analysts it cites warn that further volatility is likely, though two new factors work in the AI trade's favor. Bloomberg reported that the rebound in chipmakers came as strong data sank bonds, and its video segment featured HSBC strategist Max Kettner arguing that the AI trade is following market narratives rather than market fundamentals.

Timeline

1. Bloomberg

   6 Nov 2026, 16:34 UTCSource ↗

   Bloomberg reports that a rebound in chipmakers buoyed Wall Street as dip buyers emerged despite solid economic readings that reinforced speculation the Federal Reserve will raise rates in December, and HSBC's Max Kettner says the AI trade is following market narratives rather than fundamentals.

2. MarketWatch

   6 Nov 2026, 19:52 UTCSource ↗

   MarketWatch reports that Nvidia, AMD and other chip stocks rebounded and asks whether the 'violent' AI selloff is over, noting that analysts warn of further volatility though two new factors favor the AI trade.