Tech stocks spiked Wednesday morning after an exceeded expectations inflation report injected the market in a bit more optimistic and extended the rebounds of AI stocks yesterday.
Tesla (TSLA) shares have risen 7% in recent trading, surpassing the grand seven stocks. Shares of AI chip maker Nvidia (NVDA) jumped 6%, while Meta (Meta) rose 3%. Amazon (AMZN) rose by about 1%, while Alphabet (Goog), Microsoft (MSFT) and Apple (AAPL) were slightly higher.
AI stocks were one of the most performant stocks on the market on Wednesday morning. AI’s favorite Applovin (APP) has risen by more than 700% in its share last year, falling about 50% in recent weeks, and has grown by around 6%. Last year, Palantir (PLTR), the best-performing stock of the S&P 500, won 5%. Nuclear power providers Vistra (VST) and Constellation Energy (CEG) increased AI-driven demand for low-carbon electricity by 5% and 3.5%, respectively, last year.
AI stocks have been particularly hit with the recent weeks by President Trump’s tariff policies and the economic uncertainty they have created. The epic Seven took part in the technical revision in late February due to concerns about AI competition with China, overexpenditure on AI infrastructure and slowing growth at Bellwether Nvidia. Since then, stocks have fallen even further amid concerns that tariffs could slow economic growth and accelerate inflation.
Some analysts have expressed confidence that the underlying foundations of the AI rally remain intact and that recent sales offer attractive purchasing opportunities for investors. Others have warned, noting that the sale has plunged a major index under the main support threshold.
