Key Points
- SP500 traded at 7,313.00, up 36.80 points, or 0.51%, after reaching a session high of 7,324.68.
- Dow E-minis rose 126 points, or 0.25%, S&P 500 E-minis gained 23.25 points, or 0.32%, and Nasdaq 100 E-minis climbed 228 points, or 0.81%.
- AMD jumped 18.1% in premarket trading after forecasting second-quarter revenue above expectations, while Intel rose 6.1% and Super Micro gained 17.7%.
- Brent crude futures slipped 3.3% as hopes for a US-Iran peace agreement eased part of the energy-risk premium.
Wall Street futures climbed on Wednesday as traders leaned into two forces at once: hopes for a US-Iran peace agreement and fresh confidence in the AI trade. The rally followed record highs for the S&P 500 and Nasdaq Composite on Tuesday, and futures showed that the move had not yet run out of momentum. Reuters reported that US stock index futures rose as peace hopes and AI optimism drove risk appetite.
At 4:43 a.m. ET, Dow E-minis rose 126 points, or 0.25%, S&P 500 E-minis gained 23.25 points, or 0.32%, and Nasdaq 100 E-minis were up 228 points, or 0.81%. The stronger Nasdaq move shows where the market is placing its conviction: semiconductors, AI infrastructure, cloud spending, and data-centre demand.
The SP500 chart also reflects that risk-on tone. SP500 traded at 7,313.00, up 36.80 points, or 0.51%, after reaching a session high of 7,324.68. The session low stood at 7,275.30, with an open at 7,278.25 and a close at 7,276.20.
AI Earnings Keep The Rally Alive
Advanced Micro Devices became the main spark for the latest move. AMD jumped 18.1% in premarket trading after forecasting second-quarter revenue above expectations, helped by robust demand for its data-centre chips. AMD’s data-centre segment grew 57% to $5.8 billion in the first quarter, while the company expects second-quarter revenue of $11.2 billion, compared with estimates of $10.52 billion.
That matters for the wider index because AI has become the market’s cleanest earnings story. Traders are no longer buying only the promise of AI. They want proof that chip demand, server demand, cloud spending, and data-centre investment can turn into revenue. AMD’s guidance gave the market that proof for another session.
The optimism spread across related stocks. Intel rose 6.1%, while Super Micro jumped 17.7% after a stronger-than-expected forecast for fourth-quarter revenue and adjusted profit. Super Micro projected fourth-quarter revenue between $11 billion and $12.5 billion, above the $11.07 billion average analyst estimate, and adjusted profit per share of 65 cents to 79 cents, above expectations of 55 cents.
Alphabet rose 1.4%, narrowing the gap with Nvidia in the race to become the biggest company by market value. Nvidia gained 0.44%, while Arm Holdings rose 11.3% ahead of its quarterly results. This keeps the AI rally broad enough to support the Nasdaq, but it also raises the bar for future earnings.
Iran Peace Hopes Lower The Oil Threat
Markets also gained support from a softer oil backdrop. President Donald Trump said “great progress” had been made toward a peace agreement with Iran, while Tehran said it would only accept “a fair and comprehensive agreement”. The tone helped calm fears that the Middle East conflict could re-escalate and disrupt the earnings-led advance.
Oil prices fell for a second consecutive day, with Brent crude futures slipping 3.3%. Oil prices extended their slide as Trump flagged a possible Iran peace deal, with Brent and WTI falling sharply as traders priced in the chance of released Middle Eastern supply.
This is important for equities. Lower oil reduces inflation pressure, helps transport and consumer-facing firms, and give central banks less reason to keep policy tighter for longer. A drop in crude also supports margins for companies exposed to fuel, logistics, and production costs.
The risk is that diplomacy remains fragile. Betting that the Middle East war will not re-escalate and disrupt the earnings-driven surge to all-time highs. That bet has worked so far, but the more stocks rise, the more exposed they become if diplomatic efforts break down.
Technical Analysis
The SP500 is trading near 7313, extending its rally and pushing into fresh highs after a strong recovery from the late-March low near 6318. The index continues to show firm bullish momentum, with buyers maintaining control as price trends steadily higher above all major moving averages.
From a technical standpoint, the structure remains strongly bullish. Price is holding comfortably above the 5-day (7247) and 10-day (7196) moving averages, both of which are sloping sharply upward and acting as dynamic support. The 20-day (7102) sits below the current price and continues to rise, reinforcing the strength of the broader uptrend.
Key levels to watch:
- Support: 7247 → 7196 → 7102
- Resistance: 7325 → 7407 → 7500
Price is now testing the 7325 resistance zone, marking the current swing high. A sustained break above this level could open the path toward 7407, with further upside possible if momentum remains strong and risk appetite continues to improve.
On the downside, 7247 is acting as immediate support, aligning with the short-term trend structure. A break below this level could trigger a pullback toward 7196, though such a move would likely remain corrective unless price begins to lose the 20-day support as well.
Overall, the SP500 remains in a firm uptrend with shallow pullbacks, reflecting continued bullish sentiment and strong momentum. The market is approaching stretched conditions in the near term, but price action still favours buyers while the index remains above the rising short-term averages.
Cautious Forecast
The near-term bias stays bullish while SP500 holds above 7,247.14 and 7,196.69. A daily close above 7,324.68 would support a move toward 7,406.99, especially if AI earnings continue to beat expectations and oil stays under pressure.
A failure to hold 7,275.30 would warn that traders are taking profit after the record run. A break below 7,247.14 could shift attention back to 7,196.69 and 7,102.81. The biggest risks are a breakdown in US-Iran talks, a rebound in Brent crude, or AI guidance that fails to match the market’s high expectations.
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Trader Questions
Why Did The S&P 500 Rise Today?
The S&P 500 rose as investors reacted to US-Iran peace hopes, lower oil prices, and renewed optimism around artificial intelligence stocks.
SP500 traded at 7,313.00, up 36.80 points, or 0.51%, after reaching a session high of 7,324.68.
What Is Driving Wall Street Higher?
Wall Street is being driven higher by strong AI earnings momentum and hopes that the Middle East conflict will not re-escalate.
At 4:43 a.m. ET, Dow E-minis rose 126 points, or 0.25%, S&P 500 E-minis gained 23.25 points, or 0.32%, and Nasdaq 100 E-minis climbed 228 points, or 0.81%.
Why Are AI Stocks Supporting The S&P 500?
AI stocks are supporting the S&P 500 because investors are still buying companies tied to data centres, chips, cloud infrastructure, and AI demand.
AMD jumped 18.1% in premarket trading after forecasting second-quarter revenue above expectations. Intel rose 6.1%, Super Micro gained 17.7%, Alphabet rose 1.4%, Nvidia gained 0.44%, and Arm Holdings advanced 11.3%.
Why Did AMD Stock Jump?
AMD stock jumped 18.1% in premarket trading after the company forecast second-quarter revenue above expectations.
The stronger outlook was helped by robust demand for data-centre chips, which reinforced confidence in the AI infrastructure trade.
How Did Super Micro Affect Market Sentiment?
Super Micro helped lift AI sentiment after issuing a stronger-than-expected forecast for fourth-quarter revenue and adjusted profit.
The stock jumped 17.7%, adding to the wider rally across semiconductor and AI-linked shares.
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