Some Chip Stocks Rally Ahead of Nvidia's Earnings

Some chip stocks rallied in morning trading. Semtech rose 14% after earnings; Western Digital rose 4%; Seagate Technology, AMD, and ON Semiconductor rose 2%; Qualcomm rose 1%.

Options traders are pricing in a $280 billion swing in Nvidia's market value ​after the company reports second-quarter earnings on Wednesday afternoon, as investors seek fresh insight into the demand driving the technology ‌sector.

The chipmaker's options are pricing in a 5.4% move in either direction on Thursday, a day after the company reports results, which is below the 6.5% move implied ahead of its May earnings report.