U.S. stock indices opened higher on Friday as tech shares rebounded from Thursday's sharp sell-off. The bounce followed a disputed OpenAI revenue figure that had rattled the AI trade a day earlier, while a SpaceX spectrum deal and easing Iran tensions added to the lift.
The Nasdaq Composite added 0.6% just after the opening bell on Friday, leading a rebound across Wall Street. The S&P 500 climbed 0.3%, while the Dow Jones Industrial Average traded up 64 points, or 0.1%.
Tech leads the bounce
The State Street Technology Select Sector SPDR ETF traded 1% higher, with gains led by a 2% rise in SpaceX after the company agreed to buy a nationwide spectrum portfolio. Other tech names advanced too — Lumentum gained 8% and KLA rose 2%, while shares of AT&T, Verizon and T-Mobile slid as investors weighed the prospect of a new competitor.
OpenAI's revenue figure sparks the swing
Thursday's slide traced back to a report that OpenAI told investors its annualized revenue stood at $50 billion at the end of September, well below the $68 billion figure widely reported the month before. As a result, the Nasdaq dropped more than 1% on Thursday, its biggest one-day loss since mid-August.
According to Vital Knowledge's Adam Crisafulli: "The sell-off reflected extreme positioning imbalances that have further to unwind in our view."
Separately, OpenAI told investors it expects its annualized revenue run rate to reach or exceed $70 billion by Dec. 31, 2026, according to a Bloomberg report cited by Crypto Briefing.
A winning week so far
Oil prices eased after President Donald Trump pledged not to strike Iran before the midterm elections. All three major stock market averages are heading for a winning week: the Dow and Nasdaq have each risen 0.4%, while the S&P 500 has gained nearly 1%.
Sources: CNBC, Crypto Briefing
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