When Intel Corporation posted its best quarter still this precedent week, industry watchers noted that good news expands ahead of the chip creator and touches on high-tech industry and perhaps the U.S. economy.

Intel, on strength of sturdy server chip sales, reported heavy earnings for second quarter of financial 2010. The chip creator reported net income of $2.9 billion for quarter ended June 26. That is a turn from $398 million loss corporations reported in similar quarter a year ago.

The consequences topped still Intel's possess hope, and its gross margins came in at 67%, passing Wall Street's opportunity of 64.1%. And that, as per the different analysts, can only be good news for tech division and economy at large.

"We emerge to be at facade end of what, might be a strong refreshes, which is extremely good for technology section in general," said Rob Enderle, an analyst with Enderle Group. "This reproduces a rising tide, which might raise all boats. Intel is a bellwether for technology section.

The whole economy is based on things further than technology while, so we require seeing other segments, and hiring in general, improving as well. But this is one of strongest indicators that things might be improving." Industry analyst corporations have been forecasting strong microprocessor and PC sales for 2010.