S&P 500, Nasdaq climb as AI-linked stocks recover ahead of earnings
SPY•The S&P 500 rose 0.45% and the Nasdaq gained 0.95% as AI-related stocks rebounded from last week's selloff, while the Dow fell 0.20%. Brent crude declined 1.3% to around $108 a barrel ahead of key earnings reports this week.
1. Technology shares rebound
Broadcom climbed 2.2% and Micron rose 4.3%, while the Philadelphia Semiconductor Index gained 2.5%, putting it on course to end an eight-day losing streak. The technology sector led S&P 500 gains, up 1.2%. Amazon rose 2.3% after Morgan Stanley named it its “top pick,” and Intel gained 5.1% after J.P. Morgan upgraded the stock to “neutral” from “underweight.”
2. Market gains remain uneven
At 9:52 a.m. ET, the S&P 500 was up 34.27 points at 7,693.71, and the Nasdaq had gained 249.13 points to 26,389.16. The Dow fell 102.02 points to 51,900.39. Cleveland-Cliffs surged 8.7% after its third-quarter profit topped analysts’ estimates.
3. Investors weigh AI spending
The indexes recovered as easing oil prices provided support ahead of earnings reports. Last week's selloff followed concerns that higher interest rates could curb AI infrastructure investment and renewed questions about how the costly build-out will be financed. Meta and Tesla were due to report results Wednesday.
