Tech and semiconductor stocks dominated overnight gains as AI and data center tailwinds accelerated, with ON Semiconductor (+9.2%) climbing on a BofA upgrade and $6B buyback, DELL (+8.9%) rising on Goldman's $215 price target citing AI server demand, and AMD (+6.6%), LITE (+8.7%), and COHR (+5.4%) all rallying on hyperscaler infrastructure spending. Materials also surged with ALB jumping 14.4% on lithium price strength, while industrials benefited from operational improvements—JBHT (+6.2%) beat earnings with strong intermodal volumes and CHRW (+7.8%) gained on logistics margin expansion. Offsetting gains were SCHW (-7.9%) on revenue/margin misses despite trading volume strength, ABT (-5.3%) cutting FY guidance on acquisition dilution, and RCL (-5.2%) losing share preference to Viking.
Buy into semiconductor and AI infrastructure names—the fundamentals (record data center revenue, analyst upgrades, major buybacks) remain intact and momentum is strong; ON and DELL are particularly attractive after yesterday's catalyst-driven moves. Avoid SCHW and ABT; financial sector headwinds and healthcare guidance cuts suggest further downside. Monitor industrials like JBHT and CHRW as potential hold-to-accumulate plays given structural market improvements, but don't chase here.