NEW YORK, Nov. 11 (Xinhua) -- U.S. stocks rebounded on Wednesday as a strong quarterly report from CoreWeave revived confidence in artificial intelligence (AI) spending.
The Dow Jones Industrial Average rose 254.6 points, or 0.49 percent, to 52,486.49. The S&P 500 gained 98.45 points, or 1.31 percent, to 7,619.38. The Nasdaq Composite Index climbed 400.31 points, or 1.6 percent, to 25,466.19.
Ten of the 11 primary S&P 500 sectors ended higher, with technology leading the gainers by adding 2.71 percent, followed by energy, up 1.83 percent. Consumer discretionary was the only sector to fall, edging down 0.36 percent.
Oil prices rose from two-month lows as doubts grew over a diplomatic settlement with Iran. West Texas Intermediate settled at 86.53 U.S. dollars a barrel, up 0.57 percent, after Tehran said it would not allow enriched nuclear material to leave the country and fresh attacks on tankers near the Strait of Hormuz kept shipping risks in focus.
On the corporate front, "neocloud" company CoreWeave soared 24.71 percent after reporting third-quarter revenue of 3.66 billion dollars, up 168 percent from a year earlier, and raising its full-year revenue forecast to between 13 billion and 13.3 billion dollars.
The shares of both Micron Technology and SanDisk jumped over 11 percent, along with significant gains in shares of Advanced Micro Devices, Intel and Broadcom. Moreover, Nvidia rose 2.87 percent, recovering part of its two-day slide, even after Baird cut its rating on the stock to neutral.
An amended filing from Anthropic, which is preparing to go public, showed AMD and Micron among seven technology companies that agreed to buy a combined 26 billion dollars of its shares.
"Sentiment around the frontier is the core driver of the AI trade set," said Kevin Rippey, technology analyst at Evercore ISI. "We get through this event. We look out into December, and you can draw quite a bullish construct."
The U.S. bond market was closed on Wednesday for Veterans Day, so there was no trading in Treasuries a day after the benchmark 10-year yield topped 5 percent on hotter-than-expected inflation data.
Traders still see a December rate hike as near-certain, with the odds of a quarter-point move at about 90 percent, according to CME FedWatch.
Investors next turn to weekly jobless claims and Nebius earnings on Thursday. ■