Intel results boost chip stocks on optimism PC market slump is ending

Intel shares surged 7% on Friday, a day after the chipmaker’s unexpectedly strong quarterly report heralded a turnaround in fortunes after a long, margin-sapping struggle due to plummeting PC sales and a highly competitive data center market.

The company’s surprise second-quarter profit and its strong earnings and margin forecasts suggested the personal computer market slump was nearing an end, sparking the surge in its stock and the wider chip sector.