Chip sector rebounds after Fed meeting, chip stocks up

The shares of companies in the semiconductor space, including NVIDIA Corp NASDAQ: NVDA and Micron Technology Inc NASDAQ: MU, are trading higher Wednesday, rebounding from recent weakness and concerns over fed tapering, which has caused volatility in the sector.

The December meeting summary shows that the Fed is ready to start raising interest rates and tapering bond buying. The Fed said it is prepared to engage in discussions about reducing holdings of Treasury and mortgage-backed securities.

In this week s meeting, those conversations will likely ramp up. The FOMC decision is due at 2 p.m. The press conference with Fed chairman Jerome Powell will be held on ET today.

The chip sector has been helped by stronger than expected financial results from Texas Instruments Inc. NASDAQ: TXN.

Texas Instruments reported quarterly adjusted earnings of $2.27 per share, beating the $1.94 estimate. The company reported quarterly revenue of $4.83 billion, which beat the estimate of $4.43 billion and represented a 19% increase year-over-year.

See Also: Why Texas Instruments Stock is Trading Higher Today?

NVDA, MU Price Action: At the time of publication, Nvidia was up 3.8% at $231.77 and Micron was up 3.42% at $83.46.