4:20pm: Investors pile back into AI stocks
Stocks powered higher Thursday, with the Dow Jones Industrial Average reclaiming the 50,000 mark and both the S&P 500 and Nasdaq charging to fresh record highs as enthusiasm around artificial intelligence stocks roared back into the market.
The Dow climbed 370 points, or 0.8%, to finish at 50,063, while the S&P 500 added 57 points, also up 0.8%, to close at 7,501. The tech-heavy Nasdaq gained 233 points, or 0.9%, ending the session at 26,635.
Much of the day’s momentum came from renewed optimism surrounding AI-linked companies, with investors piling back into high-growth technology names after several sessions of mixed trading.
One of the standout moves came from Cerebras Systems, whose shares closed just above $311, marking a stunning rally of roughly 68% above the company’s IPO price and underscoring the continued appetite for next-generation AI infrastructure plays.
Investor sentiment also got a boost from developments on the geopolitical front after US President Donald Trump and Chinese President Xi Jinping called for improved ties between the world’s two largest economies as they opened a two-day summit Thursday. Markets are watching closely for signs of easing tensions on issues ranging from tariffs to artificial intelligence cooperation.
Meanwhile, traders were also positioning ahead of quarterly results from Applied Materials, due after the closing bell, with the semiconductor equipment giant viewed as another key read on AI-driven spending trends across the chip industry.
By the closing bell, the combination of easing geopolitical concerns and renewed confidence in the AI trade was enough to push all three major indexes firmly higher, capping another record-setting session for Wall Street.
3:45pm: Proactive news headlines
- Snail Inc returned to profitability in the first quarter on sharply higher game sales led by ARK: Survival Ascended and Bellwright, while also expanding its presence in Latin America through Gamescom LATAM partnerships and publishing initiatives.
- G Mining Ventures Corp (TSX:GMIN, OTCQX:GMINF, FRA:W97) maintained its 2026 production guidance and is expected to deliver a stronger second half as higher-grade ore access and advancing development projects support output and margins amid elevated gold prices.
- Power Metallic Mines Inc (TSX-V:PNPN, FRA:IVV1, OTCQB:PNPNF) received renewed backing from Noble Capital Markets after partnering with Ideon Technologies to deploy muon tomography at its Lion Zone discovery within the Nisk polymetallic project in Quebec.
- Arianne Phosphate Inc (TSX-V:DAN, OTCQB:DRRSF) achieved a milestone by continuously producing phosphoric acid from locally sourced phosphate concentrate in Quebec for the first time in more than 130 years.
- Northstar Gold Corp. (CSE:NSG) is advancing exploration and development at its Miller copper-gold property in Ontario while preparing renewed drilling at the Allied Gold Zone and continuing work on its Cam Copper initiative.
- Ideal Power Inc (NASDAQ:IPWR, FRA:5ILA) highlighted growing commercial momentum for its patented B-TRAN semiconductor technology as industries increasingly shift toward high-voltage DC power architectures.
- VivoPower PLC (NASDAQ:VIVO, FRA:51J) is promoting its sovereign AI compute infrastructure strategy and AI-focused “Power-to-X” platform amid rising industry demand for data center power access and financing solutions.
- NextSource Materials Inc. (TSX:NEXT, OTCQB:NSRCF) hosted a German group at its Molo Graphite Mine in Madagascar as part of an independent assessment of the country’s graphite production sector.
- Phunware Inc (NASDAQ:PHUN, FRA:2RJA) appointed Dmitry Kroshka as CEO to lead a strategic overhaul focused on transforming its mobile engagement platform into an AI-enabled solution for large-property operators.
- Tiziana Life Sciences Ltd (NASDAQ:TLSA) reported early Phase 2 imaging data showing notable reductions in brain inflammation markers among patients treated with intranasal foralumab for Multiple System Atrophy.
- BioHarvest Sciences Inc (NASDAQ:BHST, FRA:8MV0) reported higher first-quarter revenue and improving margins as it expanded CDMO activity and grew its direct-to-consumer wellness business.
2:50pm: Market movers
- Cerebras Systems surged in its market debut as shares more than doubled after its IPO, reflecting strong investor enthusiasm for artificial intelligence infrastructure plays.
- Snail Inc (NASDAQ:SNAL) returned to profitability in Q1 with stronger-than-expected revenue growth driven by game sales like ARK: Survival Ascended and Bellwright, while also expanding its international publishing strategy, sending shares sharply higher.
- StubHub rose after reporting first-quarter revenue and profitability that beat expectations and reaffirming its full-year outlook, supported by steady growth in ticketing demand.
- Nvidia Corp (NASDAQ:NVDA, XETRA:NVD) saw additional tailwinds as U.S. authorities approved multiple Chinese tech firms, including major platforms and distributors, to purchase its H200 AI chips under licensing terms.
- Klarna Group PLC (Unlisted (US):KLAR) posted its first-ever quarterly net profit alongside revenue surpassing $1 billion, marking a key profitability milestone ahead of its public-market growth phase.
- Cisco Systems Inc (NASDAQ:CSCO, XETRA:CIS) delivered better-than-expected fiscal third-quarter results driven by accelerating demand for AI infrastructure, which helped lift shares by roughly 14%.
- Northstar Gold Corp. (CSE:NSG) advanced exploration at its Ontario-based Miller property, including continued work on high-grade copper-gold zones and plans for renewed drilling activity.
- Ideal Power Inc (NASDAQ:IPWR, FRA:5ILA) highlighted growing commercial momentum for its B-TRAN bidirectional switch as it targets emerging high-voltage DC power architectures, alongside improving quarterly performance.
1:50pm: Cerebras surges in market debut
Cerebras Systems surged 109% in its stock market debut Thursday, with shares opening at $350 against an IPO price of $185 before trading around $310 by midafternoon.
The AI chipmaker raised $5.55 billion in an upsized offering, valuing the company well above its $8.1 billion valuation from just eight months ago.
Cerebras builds wafer-scale processors designed to accelerate large-scale AI workloads and has positioned itself as a leading challenger to Nvidia's dominance in AI computing.
12:40pm: Cisco shares surge
Shares of Cisco Systems Inc jumped about 14% to around $116 on Thursday morning after the company reported fiscal third-quarter 2026 results that topped Wall Street expectations on both revenue and earnings, driven by accelerating demand for AI infrastructure.
The company posted adjusted earnings per share of $1.06 for the quarter ended April 2026, compared with analyst expectations of $1.04.
Revenue came in at $15.84 billion, above estimates of $15.56 billion, and up 12% year-over-year.
For the fourth quarter, Cisco forecast revenue between $16.7 billion and $16.9 billion, with adjusted earnings per share of $1.16 to $1.18. GAAP EPS is expected between $0.80 and $0.85.
For the full fiscal year, the company raised its outlook to revenue of $62.8 billion to $63 billion and adjusted EPS of $4.27 to $4.29, reflecting stronger-than-expected demand trends tied to AI infrastructure and enterprise networking upgrades.
11:55am: AI mania persists
Another day of gains in equities and oil highlights the ongoing, somewhat uneven market backdrop, according to Chris Beauchamp of IG, who described the situation as increasingly mixed across asset classes.
“So long as the AI mania persists, and US earnings remain at their impressive level, it seems unlikely that markets will begin to worry about rising yields and surging energy costs," Beauchamp commented.
"So long as the music keeps playing investors will have to chase the moves in equity markets, continuing the feedback loop that has driven such a rapid recovery. It is never wise to stand in the way of an oncoming train, and for now luck is running with the bulls.”
10:50am: Claims edge higher
Some new economic data for investors to parse this morning.
First, US retail sales rose 0.5% in the latest reading, matching economist expectations, while retail sales excluding autos also increased 0.5%, in line with forecasts. The closely watched retail sales control group, which feeds into GDP calculations, climbed 0.5%, topping expectations for a 0.3% gain.
Meanwhile, initial jobless claims came in at 211,000, slightly above estimates of 205,000, suggesting the labor market may be showing early signs of softening despite continued consumer spending resilience.
10am: Cisco drives Wall Street to new highs
Wall Street's Thursday trading has started positively, helped by some well received results from Cisco Systems.
The Dow Jones has opened 0.5% higher, with the S&P 500 and Nasdaq advancing 0.4% to new record highs.
Cisco is top the Dow leaderboard, up over 14% after full-year guidance was raised after stronger-than-expected earnings were seen for the past quarter.
Boss Chuck Robins signalled accelerating demand for AI-related networking infrastructure and cybersecurity products, with 4,000 jobs to be cut as the tech giant shifts resources toward AI infrastructure, silicon, optics and security.
Nvidia is next, up 3.1%, then Caterpillar, Travelers Companies and Goldman Sachs up 1.2-0.9%
7.30am: S&P 500 and Nasdaq set for more records
US markets were set for another higher open on Thursday despite mounting inflation concerns and rising Treasury yields, as investors continued piling into artificial intelligence-linked technology stocks.
Dow Jones futures indicated an initial gain of 377 points, or 0.8%, while S&P 500 and Nasdaq futures both were up 0.3%, extending momentum after fresh record highs for Wall Street overnight.
Tech stocks surged to new highs overnight, with the Nasdaq Composite jumping 1.2% to a new peak of 26,402, while the S&P 500 rose 0.6% to close at 7,444. The Dow Jones lagged, slipping 67 points or 0.1%, to 49,693.
The gains came even after a hotter-than-expected US producer price inflation report prompted investors to scale back expectations for Federal Reserve rate cuts. Producer prices rose 1.4% month-on-month in the latest reading, well ahead of forecasts.
US Treasury yields continued to climb, with the 30-year yield moving above 5%, reflecting expectations that interest rates could remain higher for longer.
It was confirmed that Kevin Warsh will formally take over as chair of the Federal Reserve from Jerome Powell tomorrow.
Oil traded roughly flat, with WTI crude slipping below $101, despite ongoing concerns over disruption in the Strait of Hormuz.
Investors will be watching US retail sales data at 8.30am for signs that consumers are beginning to come under pressure from persistent inflation, as well as weekly jobless claims.
President Donald Trump started the first full day of his China trip, talking up a “fantastic future” for relations, while Xi Jinping emphasised cooperation above rivalry.
A large US business delegation is in two, including Nvidia’s Jensen Huang and Tesla’s Elon Musk, which helped "reinforce the market-friendly optics", said analysts at Tickmill, as the AI trade "remains the main offset to broader macro caution".
There are only a handful of earnings reports due today, with the spotlight on Applied Materials after the bell.
This company "sits right in the middle of the AI infrastructure buildout story and investors will be listening closely for commentary around hyperscaler demand, foundry spending, AI related capex, China exposure and semiconductor backlog growth", says market analyst Kenny Polcari at Slatestone Wealth. "Right now, the AI trade is carrying this market on its back," he added,
Overnight there was some buzz around a blockbuster AI-related IPO for Cerebras Systems.
"This isn’t just another AI IPO. Investors are betting Cerebras could become a legitimate next-generation AI infrastructure player because of its 'Wafer Scale Engine' technology — essentially one giant processor designed to eliminate the bottlenecks that slow traditional AI systems down," said Polcari.
The IPO priced at $185/share, $25 above the revised range, and was reportedly 20 times oversubscribed.
"That tells you all you need to know about investor appetite for anything tied to AI infrastructure right now."