--- title: "Left hand AI, right hand gold: How to play the May market?" type: "Topics" locale: "en" url: "https://longbridge.com/en/topics/40456724.md" description: "Happy May Day holiday to everyone! It's rare to have a holiday without watching the market, only to miss out on the first two days of trading after the break! Back to work today, so let's talk about the market as well. As usual, let's look at the US stock market first. Last night, the three major indices all closed higher, with the Nasdaq and S&P 500 continuing to hit new all-time highs. During the few trading days of the May Day holiday, the profit-making effect in tech stocks was significant, and it was concentrated in the upstream of the AI industry chain. The hottest concepts are still memory and semiconductors. Micron broke through $600, driving the memory sector to continue its strong rally (There was a time when its stock price was in the double digits, never again); AMD's earnings exceeded expectations, soaring after hours..." datetime: "2026-05-06T05:47:25.000Z" locales: - [en](https://longbridge.com/en/topics/40456724.md) - [zh-CN](https://longbridge.com/zh-CN/topics/40456724.md) - [zh-HK](https://longbridge.com/zh-HK/topics/40456724.md) author: "[聊美股的Vivian](https://longbridge.com/en/profiles/16202247.md)" --- # Left hand AI, right hand gold: How to play the May market? Happy May Day holiday, everyone! It's rare to enjoy a holiday without watching the market, only to miss out on the first two days of trading after the break! I'm back at work today, so let's chat about the market while we're at it. As usual, let's look at the US stock market first. Last night, the three major indices collectively closed higher, with the Nasdaq and S&P 500 continuing to hit new all-time highs. During these trading days of the May Day holiday, the profit-making effect in tech stocks was significant, and it was concentrated in the upstream of the AI industry chain. The hottest concepts are still memory and semiconductors. Micron broke through $600, driving the memory sector to continue its strong rally (there was a time when its stock price was in the double digits, but that's gone forever); AMD's earnings exceeded expectations, leading to a sharp after-hours surge. I don't think this can be simply understood as short-term speculation. Behind this wave of gains is the continued realization of industry logic. Now, let's talk about memory in detail. Today's AI doesn't just consume GPUs. Once it really gets going, HBM, DDR5, enterprise SSDs, and NAND are all necessities. Training models requires memory, inference requires memory, and scenarios like AI Agents with multi-turn interactions and multi-step reasoning require even more memory. Demand-side growth is rapid, but supply-side capacity expansion isn't as fast. It takes years for new wafer fabs to go from construction to mass production, so the tightness in memory isn't a problem that can be solved in a single quarter. This is also why stocks like Micron, SanDisk, and Seagate have been so strong recently. They are benefiting from the profit elasticity brought about by the supply-demand mismatch. Now, about AMD. The most important thing about this earnings report wasn't that the current revenue and profit exceeded expectations, but that it validated a new trend: after AI moves from training to inference, the importance of the CPU is increasing. In the past, AI servers were more GPU-dominated, with the CPU responsible for scheduling. But in the era of AI Agents, tasks become more complex, requiring continuous tool invocation, context processing, and multi-turn interactions, which will significantly increase CPU load. So, the story for the upstream AI supply chain has already extended to the entire data center hardware chain being repriced. GPUs, CPUs, memory, optical modules, PCBs, power, and cooling are essentially all beneficiaries of AI infrastructure expansion. But I must add a word of caution here: for sectors that have risen sharply, it's important to pay attention to position control. Using some profits to exchange for safety is key to maintaining a healthy portfolio. Of course, if you have little to no position, you should buy when appropriate. Don't be like me, who missed out on the first two days because I was on holiday and not watching the market (regrets). In terms of operations, the upstream AI sector has already risen for a while. For positions that have profits from earlier, you can take some profits. Hold onto the rest to ride the trend. This way, if there is a pullback, you'll have money to buy back in. As for gold, it will continue to be influenced by interest rate cut expectations and geopolitical news in the short term, leading to repeated fluctuations. Overall, the core of the May market is still structural opportunities. The upstream AI sector has the strongest logic, gold is suitable for defense, and position management is more important than chasing rallies. The above content represents personal views only and does not constitute investment advice. Give Vivian a follow, and I wish you all that what you buy goes up and what you sell goes down~ ### Related Stocks - [MU.US](https://longbridge.com/en/quote/MU.US.md) - [AMD.US](https://longbridge.com/en/quote/AMD.US.md) - [SNDK.US](https://longbridge.com/en/quote/SNDK.US.md) - [.IXIC.US](https://longbridge.com/en/quote/.IXIC.US.md) - [SQQQ.US](https://longbridge.com/en/quote/SQQQ.US.md) - [AMDL.US](https://longbridge.com/en/quote/AMDL.US.md) ## Comments (2) - **新用户_Xyj64n · 2026-05-06T07:56:25.000Z**: I sold SanDisk earlier and have been too scared to chase it. Watching it go from 700 to 1400, can I still get in now? - **聊美股的Vivian** (2026-05-06T12:25:05.000Z): The momentum is strong, and further gains are possible. However, for me, the risk expectation at this level outweighs the return expectation. I'm definitely not bearish, but I don't recommend it.