A monster day for Microsoft following signals that its big spending on AI is translating into profits led a powerful rebound on Wall Street, while AI stocks regained some of their sharp recent losses.
The S&P 500 rallied 1.7% Thursday and more than recovered its drop from the prior day. The Dow Jones Industrial Average rose 1.2%, and the Nasdaq composite jumped 2.8%.
Microsoft delivered a bigger profit than analysts expected, which helped offset Meta Platforms’s drop after it raised its forecast for AI investments.
Longer-term Treasury yields held relatively steady a day after soaring on worries about inflation. Oil prices eased.
On Thursday:
The S&P 500 rose 121.48 points, or 1.7%, to 7,437.63.
The Dow Jones Industrial Average rose 613.92 points, or 1.2%, to 52,208.06.
The Nasdaq composite rose 679.24 points, or 2.8%, to 24,122.18.
The Russell 2000 index of smaller companies rose 39.79 points, or 1.4%, to 2,946.10.
For the week:
The S&P 500 is up 25.65 points, or 0.3%.
The Dow is up 260.81 points, or 0.5%.
The Nasdaq is up 146.35 points, or 0.6%.
The Russell 2000 is up 16.10 points, or 0.5%.
For the year:
The S&P 500 is up 592.13 points, or 8.6%.
The Dow is up 4,144.77 points, or 8.6%.
The Nasdaq is up 1,880.19 points, or 8.1%.
The Russell 2000 is up 464.19 points, or 18.7%.
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