The NASDAQ Composite rose on Wednesday as the latest developments surrounding SpaceX and Tesla led investors to move back into technology.
The Dow Jones Industrials popped 361.22 points to wind up business at 52,857.10.
The S&P 500 index added 45.14 points to 7,757.71.
The tech-heavy NASDAQ accelerated 278.04 points, or 1.1%, to 26,702.86.
Shares of Elon Musk’s SpaceX surged 7% after the company said its revenue grew 161% in the third quarter. Musk also said that SpaceX and Tesla, his auto manufacturer, have formed special committees to discuss a merger. Tesla, which is due to report earnings later, was up more than 3%.
SpaceX’s artificial intelligence business grew ninefold, reigniting enthusiasm for stocks related to the trade.
Key chipmakers such as Advanced Micro Devices advanced almost 4%, while Nvidia rose more than 2%. Micron Technology and Marvell Technology each grew more than 2%.
Traders are also watching for results from IBM and Southwest Airlines, both of which are due Wednesday as well.
Investors are seeking more insights into the AI trade on Wednesday, with Meta Platforms also set to report after the bell. Earlier this month, the company rolled out its latest AI model, Muse Wonder, which is only available to paying users.
Netflix was a key laggard during Wednesday’s session. Shares tumbled more than 5% after the streaming mainstay’s full-year revenue forecast came in below analysts’ expectations. The company also cut its ad revenue guidance for the full year.
Prices for the 10-year Treasury lost ground, raising yields to back to Tuesday’s 5.12%. Treasury prices and yields move in opposite directions.
Oil prices dipped 18 cents to $97.64 U.S. a barrel.
Gold prices accumulated $7.80 to $4,150.40 U.S. an ounce.
