Equities Resist AI Bubble Chatter as AMD Powers Surge – US Market Wrap

A surge in chipmakers propelled equities to fresh record highs as AMD’s partnership with OpenAI intensified the AI frenzy driving Wall Street. Bonds declined, while the dollar strengthened.

With the bull market approaching its three-year milestone, momentum shows little sign of fading. The S&P 500 advanced for a seventh consecutive session — its longest winning streak since May. AMD climbed 24%. Though Nvidia slipped, a key semiconductor index rose about 3%. Tesla led megacap gains after a flurry of social-media posts hinted at an upcoming product reveal.

Monday’s AMD agreement marks the latest major data center deal of the year, following last month’s news that Nvidia plans to invest up to $100 billion in OpenAI amid booming demand for AI tools like ChatGPT and the computing power they require.

Long-dated Treasuries lagged, mirroring similar weakness across Europe and Asia amid fiscal worries. Gold approached $4,000 an ounce, while Bitcoin also reached a record high. Oil climbed after OPEC+ announced a modest production increase.