Stock markets turned mixed on June 8 as semiconductor stocks rebounded from their worst week in months while oil prices extended losses on mounting hopes for a US-Iran peace deal. The rebound capped a volatile stretch that saw the chip sector shed roughly $1.3 trillion in market value during a sharp selloff on June 5.
The Nasdaq Composite rose 0.9% on June 8, while the S&P 500 gained 0.3% and the Dow Jones Industrial Average slipped 0.2%, according to reporting from the Wall Street Journal and Reuters. The mixed close reflected divergent sentiment across sectors as investors rotated between technology stocks and other assets.
The semiconductor rebound followed a violent selloff on Friday, June 5, when the Nasdaq fell 4.2% in its worst decline since April 2025, according to CNBC. Nvidia, the world’s most valuable chipmaker, fell about 6%, shedding more than $300 billion from its market capitalization and briefly dropping below a $5 trillion valuation. The broader Philadelphia Semiconductor Index declined sharply as investors engaged in profit-taking after a sustained rally in chip stocks earlier in the year.
Analysts attributed the June 5 decline to profit-taking rather than deteriorating fundamentals. “It appears to be a case of profit-taking in the semiconductors,” wrote Navellier analysts on Friday, according to Investopedia. The semiconductor sector had soared through the first half of 2026 on AI enthusiasm, making it vulnerable to a correction as investors locked in gains.
Oil prices fell on Friday and remained under pressure as traders grew increasingly confident in a potential US-Iran ceasefire. Reuters reported on June 5 that oil prices fell as traders gained confidence that renewed conflict between the US and Iran was growing less likely. CNBC noted that global oil prices had tumbled by around 20% from 2026 highs as markets digested optimism over US-Iran ceasefire talks. The decline reflected expectations that a peace deal could ease geopolitical tensions that had kept crude prices elevated since the start of the conflict.
The mixed market action underscored competing forces shaping investor sentiment: technology stocks recovering from oversold levels while energy markets repriced lower on de-escalation hopes. The rebound in chip stocks on June 8 suggested that the sector’s sharp decline was viewed as an opportunity by some investors rather than a sign of deeper weakness.
Sources
- Wall Street Journal — reported June 8 market close with Nasdaq up 0.9%, S&P 500 up 0.3%, Dow down 0.2%; June 5 Nasdaq decline of 4.2%
- Reuters — confirmed June 5 semiconductor selloff with Nasdaq falling 4.2%, noted Nvidia fell about 6% and lost over $300 billion in market cap; reported June 5 oil price decline on ceasefire optimism
- CNBC — reported Nasdaq composite decline on June 5 and noted oil dropped 20% from 2026 peak on ceasefire optimism; reported June 8 S&P 500 and chip rebound
- Investopedia — attributed June 5 selloff to profit-taking in semiconductors, quoting Navellier analysts
