Deutsche Bank analysts describe a mixed backdrop for US equities, with the S&P 500 rebounding on broad participation even as chipmakers lag after Broadcom’s disappointing AI guidance. The index is marginally higher on the week and eyeing a rare tenth straight weekly gain, though futures are softer. Lower Oil and yields have supported risk sentiment despite weakness in Bitcoin.

Broad rally offsets semiconductor drag

"Meanwhile, equities recovered, including the S&P 500 (+0.41%), although it wasn’t all good news for risk assets yesterday, with Bitcoin (-2.06%) falling to its lowest level since early February, at $63,575."

"Ahead of that, US equities also regained momentum before this morning's futures sell-off, with the S&P 500 (+0.41%) paring back the previous day’s losses and still looking to post a 10th consecutive weekly increase for the first time since 1985."

"Most constituents in the index put in a solid performance yesterday, with 363 advancers – the most since April – and with the equal-weighted S&P 500 (+0.79%) rising to an all-time high."

"Chipmakers were the major exception to that, and Broadcom (-12.59%) was the second-biggest decliner in the index after their earnings the previous day."

"The Philly semiconductor index fell by -2.15% but it did recover from as much as -6.29% down early in the session."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)