Technology stocks bounced on Wednesday as President Donald Trump ruled out military force in Greenland, easing geopolitical fears that sparked a global sell off earlier in the week.
Chip stocks led the tech sector's gain. Intel rallied 11%, while Advanced Micro Devices and Arm Holdings surged about 9% and 8% respectively. Micron Technology and Marvell Technology rose at least 5% each.
Shares of tech companies sold off on Tuesday after Trump pledged new tariffs on eight countries that opposed a U.S. acquisition of Greenland as leaders convened in Davos, Switzerland, for the World Economic Forum.
But Trump dialed down the rhetoric on Wednesday, ruling out military force. A potential peace deal between Russia and Ukraine, along with a takeover of Greenland, are among the agenda items for the president and his team while in Switzerland.
Elsewhere, Tesla and Nvidia gained more than 2%, while Meta Platforms added about 1.5%. Amazon, Salesforce and Apple were up slightly.