The BrainChip Holdings Ltd (ASX: BRN) share price soared again today, leaping a further 6.64%.
Brainchip shares have jumped 39% from 86.5 cents at market close on Friday to $1.205 at market close at the close of today's trade.
Let's take a look at why BrainChip has had such a good week.
What's going on?
Brainchip shares have soared this week despite no news out of the company. However, the technology sector has been surging this week.
The S&P ASX All Technology (ASX: XTX) index has lifted 7.88% since market close on Friday. Life360 Inc (ASX: 360) shares have stormed nearly 22.22% in the same time frame, while the Novonix Ltd (ASX: NVX) share price has soared 23.27%.
This follows heavy gains on the United States NASDAQ Composite Index in the past week. The NASDAQ has lifted nearly 8% in the past five trading days.
In the United States, the US passed CHIPS Act legislation this week providing $50 billion in subsidies for computer chip manufacturing, CBS reported.
Brainchip is a global artificial intelligence (AI) chip maker with a presence in the USA, France, Australia and India.
A report cited by Globe Newswire on Monday suggested the artificial intelligence (AI) market could be worth US$133.8 billion by 2030.
Technology shares have lifted globally this week amid technology earnings reports beating market expectations, the Wall Street Journal reported.
Commenting on the performance of technology shares, B. Riley, FBR Inc chief market strategist Art Hogan said:
Technology and consumer services have been some of the most beaten-down segments of the market. Now risk appetite is coming into those areas.
Brainchip share price snapshot
The Brainchip share price has exploded nearly 162% in the past year, while it has surged 77% year to date.
Brainchip has a market capitalisation of nearly $2.1 billion based on the current share price.
