(Updates with index/price moves and company/geopolitical news from the first paragraph.)
US equity indexes rose after CoreWeave's (CRWV) Q3 results reinforced expectations of surging demand from the artificial intelligence infrastructure buildout, sparking a rally in semiconductors and related industries.
The Nasdaq Composite jumped 2.2% to 25,608.9, the S&P 500 advanced 1.5% to 7,632.7, and the Dow Jones Industrial Average rose 0.3% to 52,370.7.
CoreWeave's (CRWV) Q3 results beat expectations for sales and adjusted operating income, and a strong full-year outlook and management's comments on 2027 funding sources reassured investors about the firm's financing plans, Morgan Stanley said in a note. Shares of the neocloud company that rents out AI infrastructure soared 25%, the Nasdaq's biggest outperformer.
Of the 20 top-performing stocks intraday with market capitalization exceeding $200 billion each, all but one were technology firms, according to Finviz-compiled data. Micron Technology (MU) was the second-biggest gainer, up 14%, followed by Arm (ARM), which catapulted 13% as CoreWeave's results reinforced the strong-demand thesis surrounding the AI plays. Of the tech giants, more than half were either semiconductor manufacturers or providers of semiconductor equipment and materials.
The iShares PHLX Semiconductor Exchange Traded Fund, with about $43.67 billion in assets under management, surged 7.7%, reflecting the bullish sentiment in the so-called AI trade.
The head of Iran's Supreme National Security Council vowed Wednesday that Tehran would not allow the removal of "even a single particle of enriched nuclear material" from the country, casting doubt on diplomatic efforts as the US has long sought a peace deal that would see Iran give up its enriched uranium, CBS reported.
The front-month West Texas Intermediate crude oil contract jumped 1.7% to $87.52 per barrel, and global benchmark Brent surged 2.2% to $93.48 per barrel.
