Market Highlights

Wall Street drove a rotation out of chipmakers into several other industries that tend to benefit from a resilient economy after Broadcom Inc.’s underwhelming outlook tested the artificial-intelligence trade. A blistering run in semiconductor companies from war-driven lows took a breather as Broadcom’s forecast for sales of AI chips disappointed investors hoping for more. The stock tumbled the most since January 2025, dragging down a key sector gauge by 2.2%. Despite weakness in the high-profile group, about 360 firmsin the S&P 500 rose. In the run-up to jobs data that’s expected to reveal solid growth, the Dow Jones Industrial Average hit all-time highs. The S&P 500 is set to break a historic weekly run of gains as the artificial-intelligence trade takes another leg lower, with investors also expecting payrolls data to affirm that interest rates will stay higher for longer.