Major US indices closed sharply higher, with the S&P 500 up 1.66% and the Nasdaq 100 rallying 3.36% as AI and semiconductor stocks rebounded from Wednesday's selloff. The gains came ahead of Apple's final earnings release under CEO Tim Cook.
Major US indices closed sharply higher, with technology and semiconductor stocks leading the rebound from Wednesday's selloff. The S&P 500 gained 1.66% to close at 7,437.64.
The Nasdaq 100 rallied 3.36% to 28,106.35, erasing all of Wednesday's losses. The Dow Jones Industrial Average rebounded more than 600 points to 52,213.21, up 1.19% and clawing back over half of Wednesday's roughly 1,100-point slide.
AI Stocks Lead the Rebound
The rally's sharpest moves came from AI and semiconductor names. More than a dozen AI and chip-related stocks posted double-digit gains, led by Nebius Group's 27.13% jump, Bloom Energy's 26.49% advance, and Sandisk's 25.97% climb.
That rebound followed news that Citadel agreed to purchase the public equity portfolio of AI-focused hedge fund Situational Awareness after the fund suffered steep losses on leveraged AI bets. Reports indicate the fund held leveraged positions in those same three stocks, and today's rebound may have partly reflected buyers stepping in once the forced-selling overhang was removed.
Apple's Final Earnings Under Tim Cook
The rally also came ahead of Apple's earnings report, the last Tim Cook will oversee as CEO. Analysts expected earnings per share of $1.89, up from $1.57 a year earlier, on revenue estimated at $108.85 billion versus $94.04 billion a year ago. After the close, Amazon topped expectations, sending its shares up more than 13% in after-hours trading, with Apple scheduled to report shortly after.
Over Cook's tenure, Apple's stock has risen 2400%, with the company's market capitalization moving from $350 billion to $5 trillion and revenue climbing from $108 billion to over $400 billion annualized. Apple was the first company to reach $1 trillion, $2 trillion, $3 trillion, and $4 trillion in market value.
Sources: InvestingLive, InvestingLive
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