$LITE

The Fed raised interest rates by 25 basis points, with all 12 FOMC members voting for the increase. Markets initially slumped but recovered, except for the Dow Jones, which fell 1.2%. Fed Chair Kevin Warsh hinted at another 25 bps increase in November, less than the 50 bps expected by Treasury bond markets. Tech stocks Lumentum (LITE) and Coherent (COHR) rose significantly, while Intel (INTC) and Nvidia (NVDA) also saw gains.

Lumentum (LITE) and Coherent (COHR) led S&P 500 gains on Wednesday, with shares up 9.6% and 6.9% respectively, despite market decline. Analysts attribute gains to recovery from Monday's AI-related sell-off and strong demand for AI infrastructure. Fed raised rates by 0.25%, causing S&P 500 to close down 0.4%.

Midday trading saw gains in AI-related stocks like CoreWeave (+4%), Nebius (+5%), Lumentum (+8%), and Coherent (+6%). SpaceX (+5%) announced a Starship rocket test. Honeywell (+3%) reported strong orders. FTAI Aviation (+5%) approved a $500M share buyback. SK Hynix (+2%) and Intel (+5%) discussed potential U.S. chip manufacturing. J.B. Hunt (-13%) warned of lower Q3 earnings. Expedia (-1%) was downgraded by Morgan Stanley. Energy stocks fell with oil prices, including Diamondback Energy (-8%) an

The S&P 500 rose 0.4% to 7,615.70, while the Nasdaq 100 gained 0.9% as crude oil prices fell. The Fed is expected to raise interest rates by 25 basis points. Retail sales and import prices exceeded expectations. Energy stocks declined, while tech and semiconductor sectors led gains. Forgent Power Solutions (FPS) surged 11.6% on strong earnings, while J.B. Hunt (JBHT) dropped 12.5% on earnings guidance.

Lumentum (LITE) stock rose 6.4% to $892.47 after presenting at ECOC 2026, highlighting its role in AI-driven data centers. Analysts raised price targets, with an average 12-month target of $1,148. A planned insider sale had minimal impact. The NASDAQ Composite gained 0.6%, supporting tech and AI-related stocks.

Wupen Yuen (PRESIDENT, GLOBAL BUS. UNITS) sold 1,500 shares of Lumentum Holdings Inc. (LITE) at an average of $882.69 ($841.51–$944.41, $1.32M total) across 3 trades over 2026-09-11 to 2026-09-15 under a Rule 10b5-1 trading plan.

Ciena (CIEN) shares rose 4% Tuesday, leading a rebound in the optics/photonics sector after a prior selloff. Corning (GLW) was up 0.5%, while Coherent (COHR) gained 3%. CIEN reported Q3 revenue of $1.67B, up 37% YoY, and raised its FY26 revenue guidance to $6.42B. The move is sector-specific, with broader tech and market ETFs down slightly.

AI companies like OpenAI and Anthropic expressed safety concerns, potentially slowing AI development. Shares of AI-related firms like Lumentum, Corning, Coherent, Dell, CoreWeave, Nebius, and HPE dropped. Meanwhile, cybersecurity stocks such as CrowdStrike, Zscaler, and Palo Alto Networks saw gains. Anthropic plans to IPO next month.

Corning (GLW) fell 12% after announcing a $2B at-the-market equity offering. Coherent (COHR) dropped 11%, Lumentum (LITE) 9%, and Fabrinet (FN) 6% due to sector-wide AI-related concerns. Corning's shares are down despite a 67.2% YTD gain.

Lumentum (LITE) shares fell 7.0% after an essay by Anthropic CEO Dario Amodei called for a slower pace in AI development, impacting AI infrastructure stocks. The decline was broad, affecting peers like Coherent and Applied Optoelectronics. Lumentum's last earnings report showed $1.01 billion in revenue with strong growth guidance. Oil price surge added macro pressure, with Nasdaq and S&P 500 also declining.