The S&P 500 (^GSPC +0.81%) rose 0.81% to 7,259.22, the Nasdaq Composite (^IXIC +1.03%) gained 1.03% to 25,326.13, and the Dow Jones Industrial Average (^DJI +0.73%) added 0.73% to 49,298.25 as easing oil prices helped major indexes set new highs.
Market movers
Chip strength led the tape as Micron (MU +10.95%) surged 11% on demand for its new high-capacity SSDs that started shipping today. Advanced Micro Devices (AMD +4.05%) gained on strong Q1 earnings after the bell.
Intel (INTC +12.93%) hit an all-time high on reports that Apple may tap it as a chip supplier. Growth name Palantir (PLTR 6.85%) fell more than 7% despite yesterday’s earnings beat. Shopify (SHOP 15.85%) tumbled on disappointing Q1 results.
What this means for investors
Markets put aside yesterday’s fears of a potential escalation of tensions in the Middle East as the U.S.-Iran truce held and oil prices retreated slightly. The S&P 500 and Nasdaq broke new ground on further earnings strength, demonstrating resilience in equities.
As Micron continues to soar on chip demand, analysts argue there’s room for further agentic AI-driven tech growth. UBS (UBS +1.71%) predicts the total addressable market for server CPUs to increase from $30 billion in 2025 to around $170 billion in 2030.
Meanwhile, investors are marking June 17 on their calendars, the date of the first interest rate decision under Kevin Warsh’s leadership. While rate changes are often more interesting for short-term investors, the new Chair’s direction and tone will also affect long-term assessments.
Emma Newbery has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices, Intel, Micron Technology, Palantir Technologies, and Shopify. The Motley Fool has a disclosure policy.
