Markets open higher after a prior selloff focused on chipmakers and technology stocks tied to AI enthusiasm and concerns about whether AI spending is sustainable. The rebound is led by semiconductors following sharp moves in Asia, where South Korea and Japan-based chip names gain after recent volatility. US stock index futures also rise, with technology and semiconductors outperforming other sectors in premarket trading.

Several reports cite catalysts for the stabilization in chips, including stronger trading and supportive regional fundamentals. South Korea’s export data for early July is described as surging, with semiconductor shipments driving much of the growth, while Taiwan’s export orders also show strength. Additional positive sentiment comes from commentary from multiple banks and expectations for a potential “bottom” after the momentum/semis pullback. Separately, coverage also notes reports that TSMC plans price increases for chip production services, which could support chip-related revenue visibility but may raise margin and inflation concerns.

At the same time, sources highlight ongoing risks: leverage and margin debt tied to AI and tech, uncertainty around pricing and cash flows during upcoming Big Tech earnings, and geopolitical tensions involving the US and Iran alongside oil-price volatility. Investors also look ahead to key policy updates and scheduled economic data, including ADP and the Philadelphia Fed report.