New Delhi, May 11 -- The likes of Intel and Micron Technology have powered the market higher in recent weeks but escalating geopolitical worries could scuttle the chip-stocks rally.

In a research note published on Monday, Gavekal Research CEO Louis-Vincent Gave named the looming summit between U.S. President Donald Trump and China's premier Xi Jinping as one reason for investors to feel cautious about the semiconductor sector.

The two leaders are set to meet in China on Thursday and Friday, Beijing confirmed.

Trump needs to replenish the U.S. stockpile of rare-earth materials, while Xi's objectives include securing the right to buy high-end chip-making machinery, the analyst said. Dutch company ASML, which makes lithography tools used ...