US stocks climb as CoreWeave results ease AI spending concerns
SPY•The S&P 500 rose 1.33% and the Nasdaq gained 1.8% as CoreWeave’s results eased concerns about AI spending. CoreWeave said it expects to reach adjusted profitability in the first half of 2028, and its shares surged more than 20%.
1. Stocks rise on AI optimism
US stocks climbed on Wednesday, with the S&P 500 up 1.33% and the Nasdaq up 1.8%, as CoreWeave’s results cooled concerns about the durability of the AI trade. The Dow rose 0.34%.
2. CoreWeave shares surge
CoreWeave shares jumped more than 20% after the company said it expects to become profitable on an adjusted basis in the first half of 2028. Nebius Group and Applied Digital each gained at least 10%, while Nvidia rose 3.8% after losing about $430 billion in market value over the previous two sessions.
3. Rates and volatility in focus
The Philadelphia Semiconductor index gained 7%, with all its components advancing. Hotter-than-expected inflation data strengthened market expectations of a Federal Reserve rate hike next month; traders fully priced in at least a 25-basis-point increase, with a 13.2% chance of a 50-basis-point increase.
