Shares of Arm Holdings moved higher as positive momentum across the semiconductor sector and company-specific catalysts bolstered investor sentiment. A primary driver for the advance was the spillover effect from blockbuster financial results and optimistic forward guidance delivered by key artificial intelligence chipmakers. Strong earnings reports across the hardware supply chain reassured the market that capital expenditure on cloud infrastructure and AI compute capacity remains on a robust trajectory, lifting major architecture and design intellectual property providers like Arm.

Company-specific strategic developments further fueled buying interest. Arm announced an expanded collaboration with IBM, enhancing enterprise workload…