Analysis

TradingKey - On Monday, October 12, Eastern Time, futures tied to the three major U.S. stock indexes were mixed in pre-market trading. Trading was relatively subdued due to the Columbus Day holiday, as investors awaited earnings reports from major banks this week and the U.S. September CPI data. Meanwhile, tensions in the Middle East and shipping risks in the Strait of Hormuz pushed oil prices higher again, capping risk appetite for tech stocks.

Micron Technology fell over 2% in pre-market trading, approaching $1,000. Can the bulls hold this key level?

TradingKey - On October 12, US memory stocks generally weakened in pre-market trading. After Chinese memory chipmaker ChangXin Memory Technologies (CXMT) announced its R&D progress in next-generation DRAM technology, the market refocused on the global memory industry's competitive landscape, while memory stocks that had previously surged continued to face profit-taking.

TradingKey - Goldman Sachs Group (GS) will report its third-quarter 2026 financial results at 7:30 a.m. ET on October 13, followed by an earnings call at 9:30 a.m.

TradingKey - As of last Friday (October 9) Eastern Time, Amazon (AMZN) closed at $262.43, up 3.29%, after touching an intraday high of $262.80 to set a recent high. Subsequent reports indicated that the company is in talks to acquire AI startup Decart for approximately $7 billion. Against the backdrop of the stock price having just broken through the technical level of $260, this potential transaction has further heightened market focus on the expansion of AWS's AI infrastructure and proprietary chip ecosystem, which may continue to support further upside in the stock price.

TradingKey - ASML (ASML) will report its third-quarter fiscal 2026 financial results on October 14. As a key global supplier of extreme ultraviolet (EUV) lithography equipment, the company is benefiting from demand for advanced chips driven by the expansion of artificial intelligence infrastructure.

TradingKey - On Monday, October 12 (ET), the New York Stock Exchange and Nasdaq will operate with normal trading hours and will not close early. Regular trading hours are from 9:30 to 16:00. SIFMA recommends a full-day closure for related bond trading, and certain payment services will also follow holiday schedules.

TradingKey - According to South Korean semiconductor media outlet The Elec, citing industry sources, ASML will raise the prices of replacement parts for EUV and DUV lithography equipment supplied to the South Korean market by a flat 10%, with the new pricing taking effect for parts delivered starting January 2027. Procurement departments at Samsung Electronics and SK Hynix have accepted the price increase, though the report did not disclose procurement amounts or specific contract terms.

Anthropic signed a cloud services agreement with IREN, sending IREN's stock price surging nearly 9% on the positive news.

TradingKey - On October 12, South Korean memory chip stocks fell significantly in intraday trading. As of press time, Samsung Electronics (005930.KS) dropped by as much as around 4.1% to 252,500 won, while SK Hynix (000660.KS) fell by as much as about 4.01% to 1,624,000 won. Chinese DRAM manufacturer ChangXin Memory Technologies (CXMT) announced R&D progress on next-generation memory technology, further fueling market concerns over intensifying competition in the global DRAM industry.

TradingKey - On October 10, Eastern Time, Nvidia (NVDA) is in discussions with Reflection AI regarding further investment or an acquisition, with potential options including hiring employees and licensing technology, according to a Financial Times report citing people familiar with the matter.

TradingKey - Amazon (AMZN) is seeking to further expand its footprint in the AI infrastructure space by acquiring artificial intelligence startup Decart. According to a Wall Street Journal report citing people familiar with the matter, the two parties are in acquisition talks that could value the deal at $7 billion.

TradingKey - During the week of October 5 to October 11, 2026, the U.S. macroeconomic environment was defined by persistent inflation pressures, rising long-term Treasury yields, and a complex monetary policy outlook.

TradingKey - ASML heads into October 14 earnings with AI-driven demand, raised 2026 guidance and new Hyper NA progress extending its lithography lead.

TradingKey - Bank of America heads into October 14 earnings with stronger NII, healthy credit and deposits, but softer investment-banking and trading momentum.

TradingKey - In the coming week (October 12 to October 16), the U.S. market will enter one of October's most critical macro data and earnings windows. U.S. September CPI, PPI, retail sales, industrial production, and regional manufacturing indices will be released in quick succession, alongside the Federal Reserve's latest Beige Book. As the October 27–28 FOMC meeting approaches, inflation and consumption data will directly influence market expectations regarding the timing of the next rate hike.

TradingKey - Apple Inc. (AAPL) is set to enter a busy product launch cycle in October. Following the release of its next-generation iPhones in September, Apple plans to hold a smart home-themed event on October 13 and is reportedly scheduled to introduce a touchscreen MacBook Pro, an OLED iPad mini, as well as M6-powered MacBook Pro and iMac models around October 27.

Nvidia (NVDA) is in talks with U.S. artificial intelligence startup Reflection AI regarding a potential acquisition or additional investment. The acquisition discussions remain in the early stages, and a deal could be reached in the coming weeks or may ultimately fail to materialize. Options currently under discussion include a full acquisition, a talent acquisition, an increased equity investment, and providing Reflection AI with additional chips and computing resources. A talent acquisition typically refers to Nvidia absorbing the company's core employees and licensing its technology, which may involve fewer regulatory and integration hurdles than a full acquisition, though it does not mean it can entirely bypass regulatory scrutiny.

TradingKey - On October 2, Eastern Time, after Toshiba announced an expansion plan for data center hard disk drives (HDDs), Western Digital (WDC) and Seagate (STX) closed down 10.22% and 10.21% respectively on the day. The expansion plan sparked market concerns over increased future supply, HDD pricing, and manufacturers' profit margins.

For the week ending October 9, shares of Cerebras Systems (CBRS) once again approached all-time lows since its Nasdaq debut. The AI chip company went public in May this year at a market capitalization close to $95 billion and was viewed by investors as a challenger to Nvidia in the AI chip sector. However, the stock has remained under continuous pressure since then, currently down more than 50% from its record high. The immediate trigger for the sharp pullback in valuation was OpenAI's decision to select Nvidia GPUs over Cerebras chips to provide computing power when launching its GPT-6.1 Sol "Ultrafast" mode.