US stock futures pointed to a sharply lower open for chip stocks on July 29, ahead of the Federal Reserve's FOMC rate decision. Micron (MU) tumbled 8.85% to $820.53, SK Hynix (SKHY) sank 8.98% to $130.17, Intel (INTC) dropped 5.86% to $86.30, and AMD fell 2.15% to $138.45. On the flip side, airline stocks caught a bid: JetBlue (JBLU) surged 10.50% to $6.00, while American Airlines (AAL) added 2.74% to $15.36.

Semiconductor names slid across the board, with storage-chip plays leading the rout after SK Hynix's earnings miss and forced de-leveraging in the Korean market amplified downside. Airline stocks rallied in sympathy with JetBlue's upbeat operating data. Big-tech heavyweights were mixed — Apple and Microsoft edged higher while Meta ticked lower. Investors remained squarely focused on the Fed's FOMC rate decision due later today, with markets overwhelmingly pricing in a hold at 3.75%.

Semiconductor Selloff: Micron and SK Hynix Lead Declines

In premarket action, Micron (MU) slumped 8.85% to $820.53; SK Hynix (SKHY) tumbled 8.98% to $130.17; Intel (INTC) lost 5.86% to $86.30; and AMD shed 2.15% to $138.45. Nvidia (NVDA) inched up 0.25% to $197.01, showing relative resilience.

SK Hynix reported fiscal 2026 second-quarter results after the close on July 28. Revenue came in at 79 trillion Korean won, up 51% quarter-on-quarter but below the 85 trillion won consensus estimate. Gross margin reached 83%, also missing the 84–85% analyst forecast. While second-quarter operating profit hit a record 60.5 trillion won, the company's outsized reliance on HBM meant it failed to fully capture the benefit of rising conventional memory prices, fueling concern about the pace of AI-driven memory demand. Compounding the weakness, crowded positioning by leveraged ETFs and hedge funds in the Korean market triggered a de-leveraging cascade that deepened losses across the country's memory-chip sector. Analysts characterized the pullback as a valuation correction and position flush, noting that the long-term AI demand thesis for memory chips remains intact.

Airlines Take Off: JetBlue Soars Over 10%

JetBlue (JBLU) jumped 10.50% to $6.00 in premarket trading, leading the airline sector higher. American Airlines (AAL) rose 2.74% to $15.36. Better-than-expected operating metrics from JetBlue, coupled with robust demand during the peak summer travel season, powered the advance.

Seagate Surges 5% on Record Results

Seagate Technology (STX) bucked the chip-sector downdraft after posting blowout fiscal 2026 fourth-quarter and full-year results. Q4 revenue jumped 48% year-on-year to $3.629 billion, while net profit soared 164% to $1.294 billion. Full-year revenue reached $12.195 billion and net profit hit $3.184 billion, both all-time highs. Buoyed by the strong report and upbeat guidance, Seagate shares climbed 5% premarket, making it one of the few gainers in the semiconductor space.

Tech Titans Mixed: Apple, Microsoft Edge Up

Among mega-cap tech, Apple (AAPL) added 0.94% to $340.08; Microsoft (MSFT) ticked up 0.32% to $415.26; Meta (META) slipped 0.86% to $508.16; and Netflix gained 1.23% to $612.78. Meta is scheduled to report second-quarter earnings on Wednesday, with analysts forecasting revenue of $60.22 billion and EPS of $7.14. Wall Street is keenly focused on the performance of its AI-driven advertising business and capital-expenditure guidance. Analysts remain constructive, with price targets ranging from $671 to $850.

On the macro front, the Federal Reserve's FOMC will deliver its rate decision and statement later today, with markets overwhelmingly expecting rates to be held steady at 3.75%. Chair Warsh is scheduled to hold a press conference following the decision. The Bank of Canada will also release its monetary policy summary today.