On Thursday, S&P Futures exhibited minimal fluctuations as investors monitored developments in the artificial intelligence sector, where companies are attaining remarkably high valuations. Market participants were closely monitoring developments in Washington, where the Supreme Court was engaged in deliberations regarding the legality of the tariffs imposed by the Trump administration. S&P 500 futures increased by 0.1%, mirroring the movement of Nasdaq 100 futures. Futures associated with the Dow Jones Industrial Average experienced a decline of 5 points. Nvidia shares experienced an increase of over 1% prior to the market opening. Despite posting better-than-expected quarterly results, Qualcomm experienced a decline of 2%.
Investors are growing more convinced that the Supreme Court will decide against the Trump administration’s assertive trade policy, following indications of skepticism from justices regarding the legality of the trade taxes during Wednesday’s proceedings. The anticipated ruling could lead to a reversal of the president’s tariffs, which may result in an upward movement in stock prices. Equities associated with AI have started to recover from the valuation concerns that emerged earlier this week—this could serve as an additional advantage for the major indexes.
Advanced Micro Devices closed more than 2% higher on Wednesday, following the semiconductor company’s announcement of third-quarter results that exceeded expectations. The performance elevated several other AI stocks in tandem, with Broadcom and Micron Technology experiencing increases of 2% and 9% on the day, respectively. Oracle also recouped some recent losses during the session.
The resurgence of AI-related stocks contributed to a market rebound on Wednesday, countering a sluggish beginning to the week that has seen all three major U.S. indexes decline on a week-to-date basis. “We’re still very early in the AI super-cycle,” stated Shirl Penney during an interview. “There will be ongoing substantial capital expenditures, not only among certain leading firms but also evident with major financial institutions such as Schwab, JPMorgan, and others.”