(Finance) – Undertone Micron Technologywhich changes hands with a drop of 1.89%.
The American semiconductor multinational has announced that it will invest about 600 million dollars in the Chinese chip factory in Xi’an, in the northern region of Shaanxi.
The objective of the investment is to expand production in the Chinese city, despite the inclusion in Beijing’s blacklist, in response to the crisis in diplomatic relations with the United States. In late May, in fact, China banned the US company from supplying the country’s critical infrastructure operators because it believed that Micron’s products posed “serious risks to network security”.
Micron said it will purchase packaging equipment owned by Taiwan-based Powertech Technology, which already operates out of an existing Micron plant in the central China city.
The trend of microchip manufacturer in the week, compared to NASDAQ 100notes a lower relative strength of the stock, which could fall prey to sellers ready to take advantage of potential weaknesses.
At present the scenario short of Micron Technology detects a decisive climb with a target identified at 69.99 USD. In the event of a temporary physiological correction, the most immediate target is seen at 65.55. However, expectations are for a rise in the curve to the top 74.43.