US stocks: S&P, Nasdaq end over 1% higher as AI-fueled optimism weighs
CoreWeave reported strong earnings, easing investor concerns about spending on AI infrastructure and boosting stock prices. Both the S&P 500 and Nasdaq witnessed gains following these positive results in the tech sector. Nvidia also recovered, overcoming previous losses related to CEO controversies and market fluctuations. Meanwhile, inflation data raised expectations for an interest rate hike by…
The S&P 500 and tech-focused Nasdaq Composite both climbed over 1% on Wednesday, buoyed by strong earnings reports from artificial intelligence-focused companies. CoreWeave, a neocloud firm, saw its shares surge more than 20% after announcing profitability in the first half of 2028. Nvidia also recovered, gaining 3.8% following a two-day decline, as its market value had dropped by $430 billion.
Other AI-related stocks, such as Nebius Group and Applied Digital, also experienced gains. Meanwhile, traditional sectors like semiconductors and energy led the market's upward trend. The volatility index fell, indicating reduced fear among investors. However, concerns about rising interest rates and inflation linger, with the Federal Reserve expected to raise rates in December.
Written by urgent.news from The Economic Times - Top News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
