Semiconductor Stocks Fall After Trump-Xi Summit Ends Without Chip Agreement

Global semiconductor stocks retreated after President Donald Trump and Chinese President Xi Jinping concluded their summit without announcing major chip agreements or a clear breakthrough on NVIDIA Corp's China business. President Donald Trump has reportedly pushed for broader access to China's financial market for U.S. credit card companies.

During talks with Chinese President Xi Jinping, Trump raised concerns about the limited access these companies face in China's credit card market.

Newsom proposed a tax on digital prewritten software aimed at creating a level playing field between online and in-store software purchases.

Inc. posted first-quarter revenue of $333.4 million, topping analyst expectations of $313.2 million. Adjusted earnings reached 10 cents per share, exceeding Wall Street estimates of six cents per share. Applied Materials Inc. issued strong third-quarter guidance and reported better-than-expected second-quarter results driven by AI-related semiconductor demand.

POET Technologies Inc. reported a first-quarter net loss of $0.08 per share, improving sharply from a loss of $0.32 per share in the previous quarter. Nebius Group reported first-quarter 2026 adjusted loss per share of 33 cents on revenue of $399 million, up 684% from a year earlier.

Cisco Systems Inc. reported stronger-than-expected third-quarter results, raised its fiscal 2026 guidance and highlighted accelerating demand for artificial intelligence infrastructure. Birkenstock Holding plc reported second-quarter adjusted EPS below estimates and margin pressure tied to unfavorable currency translation, evolving U.S. tariff policies and ongoing instability in the Middle East.

Alibaba Group Holding Ltd. reported mixed fiscal fourth-quarter 2026 results, as strong revenue growth and accelerating AI momentum were overshadowed by a sharp decline in adjusted earnings.