Technology stocks rose in line with the broader market on Wednesday amid growing expectations of a Federal Reserve interest rate cut.
Futures for the tech-heavy Nasdaq 100 rose 0.5% on Wednesday. The Nasdaq Composite Index closed up 0.2% on Tuesday.
Amazon.com Inc. shares rose 0.4%, seemingly unfazed by news that the e-commerce giant's unionized workers have agreed to join the Teamsters. The union represents one Staten Island warehouse, and while the Amazon unionization still needs to be approved by members of both organizations, it could put it in a stronger negotiating position with Amazon.
NXP Semiconductors is partnering with Vanguard International Semiconductor to build a $7.8 billion chip-making plant in Singapore. NXP shares rose 1% in premarket trading.
Taiwan-based Vanguard is partly owned by Taiwan Semiconductor Manufacturing Co.
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Vanguard and NXP will form a joint venture to build a new 300-millimeter semiconductor wafer fabrication facility that will supply chips for automotive, industrial, consumer and mobile end markets, with the first production deliveries to customers expected in 2027. Vanguard will own 60 percent of the joint venture, with NXP owning the remainder.
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Samsung Electronics shares rose 2.8% in local trading in South Korea after comments from Nvidia CEO Jensen Huang eased concerns about the tech giant's high-bandwidth memory products. Huang said Samsung's HBM products have passed any certification tests and only need additional work.
Germany's SAP has agreed to acquire Nasdaq-listed WalkMe for $1.5 billion, a deal aimed at strengthening its artificial intelligence offerings.
On Wednesday, the boards of directors of both SAP and WalkMe approved the all-cash transaction for $14 per share, valuing the company at about $1.5 billion in stock. The offer price represents a 45% premium to WalkMe's closing price on Tuesday.
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WalkMe shares rose 42% in premarket trading. SAP shares rose 1% in German trading.
Email Adam Clark at adam.clark@barrons.com.
