European Chips Join the Rebound, Led by ASML and BE Semiconductor

Dutch Heavyweights at the Forefront

Today's rise is driven by the usual leaders in the sector. ASML is up 1.31%, BE SEMICONDUCTOR gains 1.53%, ASM INTERNATIONAL 0.70%, and STMICROELECTRONICS 1.09%.

In the small caps and broader sector, LIGHTON stands out with a leap of 3.88%, followed by Memscap (+1.58%). Only MELEXIS (-0.55%) and SEMCO TECHNOLOGIES (-0.38%) pull back slightly.

The movement is not isolated: in the United States, the semiconductor sector is moving in the same direction with an 8% rise during the session, with stocks like KLA Corporation, Lam Research, and Micron Technology all around +12%.

The significant drop in the VIX to 18.75 from 22.22 the previous day also reflects a clear easing in the markets, fueled by hopes of a de-escalation between the United States and Iran, which has pushed Brent below 90 dollars. In contrast, the ECB's tightening, the first 25 basis point hike since September 2023, weighs on European valuations sensitive to rates, although this has not yet prevented the sector from making progress.

A Steady Trend, But Tight Indicators

For investors, the technical overview of the sector combines strengths and cautionary signals. The overall trend remains positively oriented: the sector's weighted average price is above its 50- and 200-day moving averages, indicating an intact medium- to long-term momentum, and the sector's MACD is above its signal line, confirming a bullish dynamic.

ASML, ASM International, and BE Semiconductor all show prices significantly above their long-term moving averages, illustrating the depth of the movement initiated several months ago. However, the sector's weighted RSI stands at 70.9, indicating overbought territory, which suggests caution following the recent rebound.

Several leading stocks (ASML at 72, BE Semiconductor at 71, ASM International at 70) display similar levels. The underlying momentum remains favorable, but the recent magnitude of the rebound suggests considering an increased risk of technical correction, in a macro context where interest rate trajectories on both sides of the Atlantic remain uncertain.