# Market Recap: August 12, 2026
Stocks closed mixed Tuesday as semiconductor names surged while e-commerce and mega-cap tech gave back recent gains.
Chip Stocks Lead the Charge
Semiconductor equipment makers dominated the day's winners, with Lam Research (LRCX) jumping 4.7% to $326.11 and Applied Materials (AMAT) gaining 4.3% to $548.15. Micron Technology (MU) led the rally, surging 4.9% to $911.29 on growing optimism around memory chip demand for AI applications. Even beaten-down Intel (INTC) managed a 3.3% pop to $100.95, while NVIDIA (NVDA) added 3.0% to close at $224.09.
Latin America Woes Drag MELI Down
MercadoLibre (MELI) suffered the day's biggest decline, plunging 5.8% to $1,828.29 amid concerns over Argentine peso volatility and slowing Brazilian e-commerce growth. Meanwhile, Meta Platforms (META) dropped 3.4% to $578.85 following analyst downgrades on metaverse spending concerns. Airbnb (ABNB) fell 2.6% to $180.09, and Microsoft (MSFT) declined 2.3% to $492.43 as investors rotated out of high-multiple names.
AI Outlook: Rotation Continues
Our models suggest the semiconductor rotation has more room to run, with chip equipment stocks showing strong technical momentum. However, the 1.8% decline in Amazon (AMZN) to $267.28 signals continued pressure on e-commerce valuations. The 2.1% gain in TQQQ indicates underlying tech strength despite individual stock weakness.
What to Watch Tomorrow
• Semiconductor earnings: Watch for any guidance updates from chip names riding today's momentum
• Latin American economic data: Further peso weakness could pressure MELI and regional plays
• Meta's response: Whether the social media giant addresses metaverse spending concerns after today's 3.4% drop