Another big rebound on the other side of the world suggested stocks would rise in the U.S., too, and that’s what happened early on Wednesday. But investors, traders and speculators remain wary about the speed and scale of the artificial intelligence (AI) buildout. South Korea’s KOSPI Index bounced back in a big way after a sharp sell-off from new highs, just as it did in March and April, rising as much as 4.6% and finishing with a gain of 3.3%.More than half of the KOSPI’s value is tied to Samsung Electronics (SSNLF) and SK Hynix (HXSCL), which were up 9.8% and 1.0%, respectively, on their local exchange.Fellow semiconductor stocks such as Nvidia (NVDA, -0.5%) enjoyed some stateside follow-through, as tech- and AI-related names attracted dip-buyers through midday. Selling pressure returned after lunch.Industrials, utilities and consumer discretionary stocks — most notably big box retailer Home Depot (HD, +5.7%) — paced the rally over here at a sector level.”The recent volatility in AI-related names — particularly chip stocks — has been widely described in terms of ‘technical exhaustion’,” observes Daniel Skelly, head of Morgan Stanley’s wealth management market research and strategy team.Skelly sees evidence of weakness in the fundamental story, too, “including possible AI-model pricing wars and increased sensitivity about spending among AI hyperscalers.”By the closing bell, the tech-heavy Nasdaq Composite had slipped 0.4% to 25,476, and the broad-based S&P 500 was down 0.1% at 7,358. But the blue-chip Dow Jones Industrial Average held on for a 0.4% gain to 51,848.Warsh has a legendary act to followThat the front-month West Texas Intermediate crude oil futures contract was down another 4.3% to $70.06 per barrel on Wednesday will relieve consumers and policymakers worried about inflation. That the 2-year Treasury yield backed off from 52-week highs today to 4.148% vs 4.200% on Tuesday will comfort anyone watching interest rates.That they’re calling what happened in South Korea yesterday “Black Tuesday” is a reminder that new Federal Reserve Chair Kevin Warsh has a tough act to follow. But so did Ben Bernanke, Janet Yellen and Jerome Powell.Looking for more timely stock market news to help gauge the health of your portfolio? Sign up for Closing Bell, our free newsletter that’s delivered straight to your inbox at the close of each trading day.Indeed, Alan Greenspan, who passed away on Monday, is the model for the modern Fed chair.Whether you need to know how to run a central bank (or you’re forming a jazz band), the old Fed chair has answers for you. Here are five lessons (we can all learn) from Alan Greenspan.Papa Dow trades VZ for GOOGLAlphabet (GOOGL, -0.2%) will be the latest Magnificent 7 stock to join the Dow Jones Industrial Average, S&P Global announced on Tuesday. The Google parent will replace Verizon Communications (VZ, -2.1%) in the price-weighted index before the opening bell this Monday, June 29, with the swap reflecting a divergence among communication services stocks at a moment defined by AI.As S&P Global notes, adding Alphabet will “broaden and strengthen” Papa Dow’s exposure to AI, as well as advertising, cloud infrastructure, hardware, autonomous mobility, healthcare technology and media distribution. Track all markets on TradingView “Its larger market capitalization and share price, together with the breadth of its businesses, make it a more representative Communication Services constituent in the DJIA,” the data provider says.S&P Global also said Honeywell (HON, +2.3%) will remain one of the 30 Dow Jones stocks after it completes the spinoff of Honeywell Aerospace on June 29.Micron is reporting earnings right nowMicron Technology (MU, -0.4%) hit a new all-time high on Monday, but the tech stock put up red numbers during the two trading sessions ahead of its post-closing-bell turn on the earnings calendar today.Of course, a year-to-date gain of 268.7% through Tuesday means expectations are still sky-high; indeed, Wall Street expects management to report earnings growth of 950% on revenue growth of 276%.Those are big numbers. And they make sense, according to Wedbush analyst Matt Bryson. Track all markets on TradingView “With numbers moving higher, demand for AI seemingly set to remain robust through CY2027 (if not 2028), limited likelihood of oversupply over the next 18 months, and finally a strong likelihood MU exceeds our estimates,” the analyst argues, “we see no reason to shift our positive view on the name.”Bryson reiterated his Overweight (Buy) rating and raised his 12-month target price on MU stock from $550 to $1,300 in a preview of management’s fiscal third-quarter report.Related contentHot Upcoming IPOs to Watch25 Stocks That Could Rally 45% or MoreJames Glassman’s Top 30 Stock Picks Mid-Year Recap
