Shares of memory and storage chipmakers climbed Monday morning after reports that the U.S. administration is discouraging domestic tech companies from buying conventional memory chips from Chinese suppliers.
Micron Technology Inc (NASDAQ:MU) rose 5.7%, while Sandisk jumped 8.7%. Western Digital Corp (NASDAQ:WDC) gained 5.4% and Seagate Technology Holdings PLC (NASDAQ:STX) added 1.7%.
The PHLX Semiconductor Sector index climbed about 2.7% to $12,759, putting it on track to enter a new bull market.
Investors welcomed the political pressure on Chinese competitors, which reinforces domestic chipmakers' supply dominance and supports long-term stability across the memory chip ecosystem.