Nasdaq 100 Rises as Chip Stocks Steady, Middle East Tensions Remain

The Nasdaq 100 rebounded on Monday as chip stocks recovered from Friday's sharp sell-off that wiped nearly $1 trillion from U.S. chipmakers' market value. While AI optimism continues to drive gains, stretched valuations and Middle East tensions are limiting upside. Oil prices remain supported by Strait of Hormuz disruptions despite ceasefire hopes, and upcoming inflation data could reinforce expectations for higher interest rates.