Wall Street Rebounds Slightly, AI Stocks Support
US stock indexes rebounded slightly from a one-month low on Thursday (June 11), buoyed by the strength of several technology and AI infrastructure stocks. The S&P 500, Dow Jones, and Nasdaq each rose 0.5%, although the market remained overshadowed by geopolitical risks and expectations of higher US interest rates.
Market sentiment remained fragile after President Donald Trump stated that the US would strike Iran again tonight and threatened to take over Iran's energy hub on Kharg Island "at some point." This statement reversed the previous tone of de-escalation and re-raised the risk of disruptions to global energy supplies.
Fundamental pressure also came from US producer inflation data. May's PPI data showed producer prices rising again, reinforcing the view that the impact of the war on energy costs is starting to filter down the price chain. This condition is in line with market expectations that the Fed still has the potential to raise interest rates this year.
However, this pressure was offset by momentum in AI-related stocks. The enthusiasm leading up to SpaceX's IPO on Friday reinforced the narrative of hyperscalers' massive spending on computing capacity and data center infrastructure. Nvidia rose about 1%, while Intel jumped 9% after receiving an upgrade from BofA due to a surge in CPU orders.
Not all technology stocks rallied. Oracle fell 12% after investors highlighted the company's plan to raise debt to finance data centers amid flat sales growth. Microsoft and MetaTrader also fell more than 1%, indicating a selective rotation into the technology sector.
Overall, Wall Street's rebound reflected support from the AI theme rather than a major shift in macro risk. The market still has to weigh three key factors: the US-Iran escalation, inflationary pressures from energy, and the direction of the Fed's interest rates. As long as these three factors remain unabated, the index recovery could remain fragile.
Source: Newsmaker.id
