markets

Luke Kawa5/19/25

China “demands” that the US “correct its mistakes” on semiconductor restrictions

Last week started with a massive rally in US stocks thanks to a trade truce with China.

This week begins on more of a negative note amid news that this aforementioned detente might be taking a bit of a turn for the worse.

While it’s certainly not the cause of the down morning for US stocks, China’s commerce ministry is taking exception with its counterparts in America who last week said that the use of Huawei’s AI chips “anywhere in the world” violates US export restrictions.

“The US’s actions seriously undermined the consensus reached at the China-US Geneva high-level talks and demanded that the US correct its mistakes,” per a translation of remarks from a spokesperson for China’s Ministry of Commerce. “If the US insists on its own way and continues to substantially damage China’s interests, China will take resolute measures to safeguard its legitimate rights and interests.”

The VanEck Semiconductor ETF is off about 0.4% as of 11:40 a.m. ET, well off its lows of the morning and above levels seen prior to these comments hitting the wires premarket.

The AI data center trade has played a critical role in the S&P 500’s comeback from its April 8 trough, thanks in part to the easing of export restrictions that allowed last week’s massive deals between Saudi Arabia and the likes of Nvidia as well as Super Micro to take shape.

But China is a much bigger market than Saudi Arabia for semiconductors, and where the dust settles after any regulatory revamp by the Trump administration is an open question. China’s concern is clearly that the direction of travel isn’t as friendly as it would have suspected given the recent broad thawing of trade tensions between the two nations.

More Markets

See all Markets

markets

Lululemon trading higher after posting better than expected Q3 results, with CEO set to exit in January

Lululemon was up more than 9% in premarket trading after the athleisure brand yesterday posted better-than-expected Q3 results, lifted its full-year outlook, and announced the departure of its CEO following over a year of slowing sales growth.

In the third quarter, net revenue increased 7% year over year to $2.57 billion, topping the $2.48 billion estimate compiled by LSEG, while earnings per share of $2.59 also beat expectations of $2.25. The results were driven largely by international markets, where comparable sales rose 18%, offsetting a 5% decline in Americas.

The company also raised its full-year revenue guidance to $10.96 billion - $11.05 billion, roughly in line with expectations at the lower end, per LSEG reported by CNBC. Management reiterated that tariffs — including the end of the US de minimis exemption — are expected to cut 2025 operating income by $210 million, down from the previous $240 million hit the company had projected in September, thanks to vendor negotiations and other cost-saving efforts.

Broadcom tumbles despite top- and bottom-line beat on dearth of new major customers

CEO Hock Tan revealed that Anthropic is the $10 billion mystery customer announced last quarter, and that the company has since secured a fifth major customer for AI chips.

Tasha Matsumoto

S&P 500 closes at a new all-time high despite a slide in AI stocks

It was the 37th record closing high of 2025 for the benchmark index.

Chicago Bulls Dennis Rodman (91), Scottie Pippen (33) and Michael Jordan (23) during game vs Miami Heat. Miami, FL 2/23/1996

J. Edward Moreno

DoorDash, Uber sue NYC over tipping law

According to data from the city, New Yorkers are paying higher fees and tipping less.

Third Party Food Delivery Prices Continue To Rise

markets

Max Knoblauch18h

Budget airline stocks dip as Spirit pilots ratify contract that’ll help the carrier stay afloat

Low-cost airlines JetBlue and Frontier are trading lower on Thursday following the news that Spirit Airlines pilots ratified modifications to their labor contract that will lower costs for the carrier, which filed for bankruptcy in August.

According to the Air Line Pilots Association, Spirit pilots approved a deal that included “temporary reductions to pay rates and retirement contributions.” Beginning January 1, hourly pay will be reduced 8% and retirement contributions will drop by half, from 16% to 8%.

“Spirit pilots made a difficult choice that provides the Company with what it needs from labor to secure financing and complete its restructuring,” said Captain Ryan P. Muller, chairman of the Spirit Airlines Master Executive Council.

Wall Street sees JetBlue and Frontier as the biggest beneficiaries to Spirit’s woes, and both carriers have attempted to purchase Spirit in recent years.

Latest Stories

Sherwood Media, LLC produces fresh and unique perspectives on topical financial news and is a fully owned subsidiary of Robinhood Markets, Inc., and any views expressed here do not necessarily reflect the views of any other Robinhood affiliate, including Robinhood Markets, Inc., Robinhood Financial LLC, Robinhood Securities, LLC, Robinhood Crypto, LLC, or Robinhood Money, LLC.

©2025 Sherwood Media, LLC