Lumentum gained 4.4%, while Marvell Technology sank 9.1% after Bloomberg reported that semiconductor giant Marvell Technology is in advanced talks to acquire optical networking company Lumentum in what is being described as an AI-related megadeal, with a deal potentially set to be announced as soon as next week.

Instacart shares jumped 6.1% in premarket trading. DoorDash, the food delivery provider in talks to take over Instacart, moved its earnings release date forward by almost a week. DoorDash is in advanced talks to acquire Instacart parent Maplebear for roughly $17 billion, people familiar with the matter said this week. A deal for the grocery app could be announced as soon as this week, said the people. No final decision has been made and discussions could fall through.

Chip stocks dropped in premarket trading. Direxion Daily Semiconductors Bull 3x Shares fell 8%; SanDisk, Seagate, Intel, Western Digital, and Micron fell 4%; AMD, Broadcom, TSMC, and SK hynix fell 3%.