Nasdaq Rises 1.05% as SpaceX, Super Micro Earnings Revive AI Sentiment; AT&T Slides 6.5%

The Nasdaq Composite gained 278.04 points, or 1.05%, to close at 26,702.86 on Wednesday, leading Wall Street higher after quarterly results from SpaceX and Super Micro Computer revived investor appetite for AI-related stocks. The S&P 500 rose 0.58% to 7,757.17 and the Dow Jones Industrial Average added 360.21 points, or 0.69%, to 52,856.09. SpaceX shares closed up 7.8% after the rocket firm posted its first profit as a public company; CEO Elon Musk said a merger with Tesla would be "a good idea," lifting Tesla shares. Super Micro jumped 9.6% after forecasting quarterly revenue and margin above estimates, benefiting peers HPE (+3.7%) and Dell (+5.3%). The S&P 500 Information Technology index rose 1.6%, the strongest sector, while the Philadelphia Semiconductor index rallied 2%. Gains were capped by a 1.3% decline in communication services. AT&T fell 6.5% despite beating estimates, as SpaceX's results and a recent spectrum purchase fanned telecom competition fears; T-Mobile fell 2.5% and Verizon 2.2%. Netflix sank 5.3% on a weak fourth-quarter profit forecast, and Alphabet lost 1.6%.