Dow jumps 450 points and S&P 500 hits record high, powered by AI darling Nvidia
NY Post
Both the S&P 500 and Dow Jones Industrial Average hit record highs on Thursday after artificial intelligence darling Nvidia forecast bumper revenue, stoking investor confidence that also boosted other growth stocks.
Nvidia’s shares surged 15% after the chip designer forecast a roughly three-fold surge in first-quarter revenue on strong demand for its AI chips and beat expectations for fourth-quarter revenue.
This pushed the benchmark S&P 500 up more than 2% to an all-time high of 5,087 points. The Dow Jones industrials also hit a record, jumping about 4500 points, or 1.1% to pass 39,000. The Nasdaq Composite surged 2.9%.
Nvidia’s earnings were a major test for the AI-fueled rally on Wall Street that first pushed the S&P 500 above the 5,000-point mark earlier this month. Some analysts had cautioned that disappointing results could spark a steep selloff among technology stocks.
“The whole package of Nvidia’s reporting lends a bedrock of credibility for other AI and technology companies as it clearly appears that Nvidia and AI are here to stay,” said Andre Bakhos, president at Ingenium Analytics.
Nvidia was set to add over $250 billion to its market capitalization if gains held, beating Meta Platform’s $196 billion surge earlier this month in the biggest one-day gain by any company in Wall Street history.
