What caused the after-hours recovery?

Micron reported stronger-than-expected earnings, boosting confidence in AI chip demand.

Which stocks were affected by this move?

Broadcom (AVGO) and Alphabet (GOOGL) rose after-hours, while Verizon (VZ) was also in focus.

S&P 500, Nasdaq Close Lower on Tech Weakness

The S&P 500 and Nasdaq closed lower on Wednesday as a broad tech sell-off continued, with investors awaiting Micron's earnings to gauge AI and memory chip demand. However, both indices recovered in after-hours trading following Micron's strong results.

June 25, 2026

2 min read

Source: Stocktwits

The S&P 500 and Nasdaq closed lower on Wednesday as the broader tech sell-off persisted, with investors awaiting Micron Technology's (MU) earnings to assess demand for AI and memory chips. However, both indices rebounded in after-hours trading after Micron reported stronger-than-expected results.

Possible Reasons

The decline during the regular session stemmed from concerns over slowing AI chip demand, weighing on the entire tech sector. But Micron's earnings beat restored confidence, lifting shares of companies like Broadcom (AVGO) and Alphabet (GOOGL) in after-hours trading.

Context

The tech sector has experienced heightened volatility recently, as investors closely watch major companies' results to gauge the sustainability of AI demand. Verizon (VZ) shares were also in focus but remained relatively stable.

Similar Moves in the Sector

Major tech stocks like NVIDIA and AMD have been highly sensitive to any signals about AI chip demand. Similar market moves occurred in recent weeks following comparable earnings announcements.

Frequently Asked Questions

They fell due to a tech sell-off as investors awaited Micron's earnings to gauge AI chip demand.

Found this useful? Share it

This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.