The three main Wall Street indices had three days with all-time highs, thanks to the rise in Nvidia shares after learning that it will build supercomputers for the United States Department of Energy, and to the optimism of investors due to the results.
Jensen Huang, Nvidia’s chief executive, said the company will build seven supercomputers for the U.S. Department of Energy and has $500 billion in reserves of its artificial intelligence chips.
Microsoft shares also rose after the company reached a deal that allows OpenAI to restructure into a profit-making corporation and gives Microsoft a 27% stake in the owner of ChatGPT.
Key quarterly results are expected this week from Apple, Microsoft, Alphabet, Amazon, and Meta Platforms. Investors are eager to hear details from companies on AI spending.
Read: Nvidia CEO says he will build new AI supercomputers for the US government
“Momentum and earnings are pushing the market higher,” said Peter Cardillo, chief market economist at Spartan Capital Securities in New York, adding that there is also “enthusiasm about Trump’s trip to Asia.”
“Profits have been good,” he said. “Of course, we are waiting for the great technological values.”
According to preliminary data, the S&P 500 gained 0.24% to 6,890.95 units, the Nasdaq rose 0.80% to 23,827.49 points, and the Dow Jones advanced 0.34% to 47,706.65 units.
Shares of United Parcel Service rose after its fourth-quarter revenue forecasts beat expectations. Its rival FedEx also won.
Third-quarter earnings for S&P 500 companies are estimated to have increased 10.5% from the same period last year, higher than previous estimates for the quarter, according to LSEG data.
With information from Reuters
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