Intel Surges 12% to Top S&P 500 as Nvidia, Google Consider It as Backup Chip Foundry

According to The Information, Intel (INTC) surged over 12% on Monday (June 8), becoming the top performer on the S&P 500 index for the day. The rally was driven by reports that Nvidia and Google are quietly considering Intel as a backup manufacturing partner for advanced AI processors amid surging demand and production capacity constraints.

Market focus also centered on strong server CPU demand, with Wall Street analysts noting supply shortages in the sector. Morgan Stanley analyst Joseph Moore highlighted that Intel's core investment thesis remains its server CPU business, with multiple tech executives reportedly reaching out in recent weeks seeking additional CPU supply, according to Intel CEO Chen-Fu Gau's comments at Computex.