The good results in Wednesday's round together with the good numbers recorded in the labor market indicate that Trump's economy is progressing at a good pace.
Companies like Corning rose 14% after announcing an alliance with Nvidia to expand production in the US of optical connectivity products used in AI data centers. Hut 8, a bitcoin mining company, soared 33% after it signed a 15-year contract worth $9.8 billion to build its Beacon Point data center campus
The S&P 500 and Nasdaq jumped to record highs this Wednesday, encouraged by the progress of negotiations in the conflict with Iran and an uptick in chip manufacturers and other actions related to Artificial Intelligence.
Advanced Micro Devices soared 17% to an all-time high after forecasting quarterly revenues above expectations due to robust demand for its data center chips. The shares of rival Intel, on the other hand, rose 2.4%
.But it was mainly the progress in the talks between Iran and the US that made it a dream day in the markets.
Global stocks rose and oil prices plummeted after President Donald Trump announced that a one-page memorandum to end the war in the Gulf, leaving complex issues such as Iran's nuclear program for later, was close to being signed.
However, Wall Street has risen in recent weeks, with investors looking beyond the conflict in the Middle East and with the AI “gold rush” continuing. “The economy is moving at a good pace. There are no real warning signs of anything even coming close to a recession. And against that backdrop, you have to own stocks,” said analyst Thomas Martin
The U.S. labor market also showed a notable rebound in April. Employment creation in the private sector registered its highest increase in 15 months, an indicator that local analysts interpret as a sign of structural strength, even with adverse global projections
.The focus of Wall Street traders is now on Friday, when the Department of Labor's non-farm employment report, considered the definitive thermometer of the U.S. economy, is released. Economists polled by Reuters estimate that 62,000 jobs were added in April after an uptick of 178,000 in March
.
