The Nasdaq-100 is rebounding Monday, but a tech rotation is underway: mega-cap internet names are surging while semiconductor stocks continue to struggle, highlighting a divide in AI market sentiment.
The Nasdaq-100 is bouncing Monday, but beneath the headline gain, the session is telling two very different stories. Mega-cap internet names are leading the charge higher while semiconductor stocks continue to bleed.
Post-Midday Scoreboard
The Nasdaq-100 is up approximately 2% just after midday, with the S&P 500 adding 1.2% and the Dow climbing roughly 0.5%, testing the 52,500 record. The recovery follows last week's bruising 4.6% NQ decline, the worst single-week drawdown since February's Liberation Day selloff.
Easing Middle East tensions, specifically the U.S.-Iran "stand down" ahead of Tuesday's Doha talks provided the sentiment floor that allowed buyers back in.
Nasdaq Heatmap
Source: TradingView
The Divergence Under the Hood
Monday's Nasdaq recovery is not a clean risk-on sweep — it's a rotation within tech. Amazon is up more than 3%, Microsoft is flat after surrendering a 2% gain earlier in the day, Alphabet is up 4.6% and Meta is up almost 3%.
These are the hyperscaler names: AI capex deployers whose earnings narratives have held even as hardware costs spiral.
The market appears to be making a distinction, companies that consume AI infrastructure are being rewarded; companies that build it are being punished.
On the other side of that ledger: Micron Technology is falling more than 6% today, reversing a meaningful slice of last Thursday's 15% post-earnings surge. Intel and AMD are also under pressure.
The pattern mirrors last week's dynamic, Micron posted record revenue of $41.46 billion and earnings of $25.11 per share, and the stock couldn't hold its gains.
The AI hardware cycle is delivering the numbers; the market is questioning the valuation the numbers deserve.
The Session's Wildcard: Comcast's $28 Billion Breakup
The day's single biggest individual mover has nothing to do with AI, It has to do with Comcast, surging over 23% before paring some of the gains to be up around 6% at the time of writing.
Comcast announced a tax-free spinoff of NBCUniversal and Sky. The separation creates two independent publicly traded companies: a pure-play media and entertainment entity housing NBC, Telemundo, Peacock, Universal Studios, Universal theme parks, and Sky; and a focused connectivity business retaining Xfinity broadband, Xfinity Wireless, and Comcast Business.
Co-CEO Mike Cavanagh moves to lead NBCUniversal while Michael Angelakis takes the CEO role at the rump Comcast entity. The deal is expected to close in approximately 12 months.
Evercore's Roger Altman called it "the right move" on CNBC Monday morning. Charter Communications also surged roughly 23% on speculation of a future Comcast-Charter cable merger; the separation removes a key structural obstacle to such a combination.
For NQ traders, CMCSA's weighting in the Nasdaq Composite is modest, but the sheer magnitude of the move and the volume it's generating is a sentiment signal. Investors are rewarding corporate simplification.
That's a useful read in a week where the market is trying to determine whether last week's AI cost re-rating was catharsis or the beginning of something more structural.
Nasdaq 100 Futures Technical Outlook
Nasdaq Futures (NQ1!) Four-Hour Chart, June 29, 2026
Source: TradingView
From a technical standpoint, on the four-hour chart Nasdaq 100 has broken a key area of confluence around 29,850-29,900 where both the 100 and 200-day MAs rested.
However, immediate resistance lies ahead in the form of the swing high from June 25, 2026 around the 30,137 handle.
A four-hour candle close above this level is needed for a change of structure to take place and provide bulls with more conviction.
A rejection at the swing high brings the possibility of a pullback and a retest of the recent lows around the 29,000 handle.