AI stocks lead as earnings reignite risk appetite
SPY•U.S. indexes ended higher on Wednesday, with the Nasdaq up about 1.1% as SpaceX and Super Micro Computer results boosted AI-related stocks. SpaceX rose about 8%, Super Micro gained about 10%, Tesla climbed more than 3% and Netflix fell more than 5%.
1. Nasdaq leads gains
The Nasdaq led Wall Street higher on Wednesday as results from SpaceX and Super Micro Computer rekindled enthusiasm for AI-related stocks, helping investors look past Netflix’s weaker outlook. Technology gained roughly 1.6%, while communication services fell more than 1%; the PHLX Semiconductor Index rose 2%.
2. Shares and markets
SpaceX climbed about 8% after reporting its first profit as a public company. Elon Musk said a merger between SpaceX and Tesla would be “a good idea,” and Tesla shares rose more than 3%; Super Micro gained about 10%, while Netflix dropped more than 5%. Apple closed at a record high. The S&P 500 energy sector reached a record intraday high before paring gains.
3. Other market moves
The housing-related share index fell about 0.7% as the 10-year Treasury yield held steady and data pointed to continued weakness in mortgage demand. Tesla and Meta Platforms were due to report quarterly results after the close.
