AI Rally Powers Stocks to New Records as Peace Deal Hopes Build – US Market Wrap

A renewed surge in artificial-intelligence enthusiasm helped extend Wall Street’s rally, while optimism surrounding a potential agreement to end the conflict in the Middle East further supported risk appetite.

Technology stocks led the market higher, pushing the S&P 500 above 7,600 and extending its winning streak to nine consecutive sessions, the longest since May 2025. A key semiconductor index jumped nearly 6%. Marvell Technology soared 33% after Nvidia CEO Jensen Huang said he believes the company could eventually reach a $1 trillion valuation. Hewlett Packard Enterprise also rallied after raising its sales outlook, citing strong AI-related demand.

Diplomatic developments provided an additional tailwind. President Donald Trump said he remains optimistic that the US and Iran can reach an interim peace agreement soon. He dismissed reports that negotiations had been suspended because of the fighting in Lebanon, saying discussions between the two sides have continued uninterrupted.

Reports also indicated that Iranian officials are preparing a final proposal to send to Washington, keeping hopes alive for progress toward a broader agreement. In commodities, US crude oil settled near $94 a barrel after another volatile session.

The combination of strong AI momentum, improving earnings expectations, and hopes for a diplomatic resolution to the conflict helped drive stocks to fresh all-time highs.