Nasdaq Hits Record High Despite Trump-Xi Summit: Which Chip Stocks Are Benefiting?

The Nasdaq Composite closed on Tuesday, September 22, 2026, at a record high of 27,244.28 points – an increase of 122.18 points or 0.45 percent. Intraday, the index reached 27,288.79 points. The previous day, the technology-heavy index had gained 2.3 percent, marking its best single-day performance in some time.

Semiconductor Sector Drives Nasdaq Rally

The PHLX Semiconductor Index (^SOX) climbed more than 2 percent on September 21, reaching its highest level since September 9, 2026. Individual chip stocks showed double-digit gains: AMD rose 10 percent, Intel gained 12 percent. The Nasdaq-100 reached a record high on September 22 for the first time since June 2026 – driven by six consecutive trading days with gains in the semiconductor sector.

Enthusiasm for artificial intelligence returned after weeks of nervous trading. According to market reports, the AI stock rally was driven by excitement around Meta's new AI products, including the personal AI agent Muse unveiled on September 8. Meta itself gained 11 percent on September 21 – also driven by AI-related gains.

Falling Oil Prices Support Risk Appetite

Alongside the chip rally, oil prices fell to an eleven-day low. Both Brent and WTI crude oil dropped below the $100 per barrel mark – for the fifth consecutive trading day. Speculation about a possible resumption of diplomatic talks between the U.S. and Iran reduced concerns about further supply disruptions. Lower energy prices dampened inflation fears and gave investors reason to invest more heavily in risk-prone assets.

Long-duration U.S. Treasury bonds also retreated from recent highs. Bitcoin rose on September 21 to an eight-month high of over $86,000, adding further momentum to overall risk appetite. Crypto-related stocks such as Coinbase recorded sharp gains.

Trump-Xi Summit as Catalyst in Focus

A summit meeting between U.S. President Trump and Chinese leader Xi was scheduled for Thursday, September 24, 2026. Some of the most influential leaders in the AI industry were expected to participate in a White House dinner as part of the summit activities. Given a sparse economic and earnings calendar, investor attention focused on this high-level bilateral meeting.

Markets had overcome a series of headwinds in September 2026: rising bond yields, geopolitical tensions in the Middle East, increasing bets on U.S. Federal Reserve rate decisions, and ongoing questions about the sustainability of AI spending. The Nasdaq record highs showed that risk appetite for tech stocks remained intact despite these unresolved challenges.

Broader Market Follows Tech Sector

The S&P 500 gained 1.5 percent on September 21, the Dow Jones Industrial Average rose 0.8 percent, ending a series of three weekly losses. Smaller companies (Small Caps) also benefited from lower oil prices and improved sentiment. The combination of falling energy prices, declining yields, rising Bitcoin, and semiconductor strength pushed investor sentiment in the week through September 26 clearly toward risk appetite.

The technical reversal marked the end of a phase of unruly trading that had unsettled investors given high valuations in the AI sector. The Nasdaq record highs signaled that demand for technology-heavy stocks had not waned even in a challenging market environment.