FX.co ★ US Stocks Trade Higher

On Wednesday, US stock markets showed gains, partially recovering from the previous session's decline. Market participants examined the potential returns on significant investments in artificial intelligence and scrutinized the outlook for US long-term interest rates. The S&P 500 and Nasdaq 100 each increased by 0.3%, while the Dow rose by 100 points. Companies operating within the AI sector experienced notable gains following Alibaba's announcement to extend its AI expenditure beyond its initial $50 billion commitment, leading to an 8% surge in its depository receipts. Nvidia and Meta also saw their shares increase by nearly 1% each. Conversely, Oracle experienced a 0.5% decline on news of its attempt to raise $15 billion in new debt. Micron's shares dropped by 1%, even though the company reported earnings that exceeded expectations. Meanwhile, investors continued to analyze remarks from Federal Reserve Chair Jerome Powell, who highlighted ongoing challenges in the labor market and inflation, while warning that stock valuations appear inflated.