U.S Stocks Sets New Record
The US stock market strengthened on Wednesday (May 6), with the S&P 500 and Nasdaq rising more than 0.7% to set new records. Meanwhile, the Dow Jones Industrial Average added around 400 points.
Wall Street's gains were supported by improving macroeconomic sentiment following hopes that the US-Iran war could soon end. Reports that the United States was close to agreeing to a memorandum of understanding with Iran also fueled market optimism.
If an agreement is reached, trade flows through the Strait of Hormuz could potentially return to normal. This sentiment has driven down energy prices, easing inflationary pressures and creating positive momentum for the stock market.
Strengthening occurred across almost all sectors, with the exception of energy producer stocks. Pressure on the energy sector arose because falling oil prices overshadowed the earnings prospects of oil and gas companies.
From the issuer side, artificial intelligence-based stocks were again the main drivers. AMD surged around 20% after its financial performance exceeded expectations and the company raised its business projections due to data center growth. Super Micro Computer also rose 15%, while Nvidia, Sandisk, Micron, and Intel all gained more than 2%.
Positive sentiment also came from the results of other major companies. Disney rose around 5% after posting strong earnings, while Uber rose 7% thanks to solid booking projections.
Source: Newsmaker.id
