Stocks See Support on Strength in Chip Makers

Market Overview - The S&P 500 and Nasdaq 100 have reached new all-time highs, driven by strength in technology stocks, particularly semiconductor stocks [2][4] - US consumer spending remains robust, with August retail sales rising by +0.6% month-over-month, exceeding expectations of +0.2% [3] - The Federal Reserve is expected to cut interest rates by -25 basis points at the upcoming FOMC meeting, with a total of -70 basis points anticipated by year-end [4][6] Economic Indicators - August retail sales excluding autos increased by +0.7% month-over-month, surpassing the forecast of +0.4% [3] - The US import price index excluding petroleum rose by +0.2% month-over-month, slightly above the expected +0.1% [3] - Manufacturing production unexpectedly increased by +0.2% month-over-month, contrary to expectations of a -0.2% decline [3] Company Performance - ON Semiconductor (ON) shares rose over +2%, while other semiconductor companies like Microchip Technology (MCHP) and Qualcomm (QCOM) also saw gains of more than +1% [12] - Ferguson Enterprises (FERG) reported Q4 revenue of $8.50 billion, exceeding the consensus estimate of $8.41 billion, leading to a share increase of over +7% [13] - Bloom Energy (BE) shares increased by more than +6% after Morgan Stanley raised its price target from $44 to $85 [13] Stock Movements - Chipotle Mexican Grill (CMG) shares rose over +2% following the approval of an additional $500 million for its share buyback program [14] - Dave & Buster's Entertainment (PLAY) shares fell more than -14% after reporting Q2 adjusted EPS of 40 cents, significantly below the consensus of 89 cents [15] - Warner Bros Discovery (WBD) shares declined more than -7% after being downgraded by TD Cowen from buy to hold [15]