AI optimism propels US shares to record close
The S&P 500 and Nasdaq set records as investors looked past higher oil prices, rising interest rates and US government debt.
US share indexes closed at record highs on Tuesday, with the S&P 500 rising 0.58 per cent to move above its previous peak from mid-August. The Nasdaq Composite gained 0.45 per cent, also setting a record.
Al Jazeera reported that enthusiasm for artificial intelligence and investment in data centres helped drive the rally. The S&P 500 has risen 14 per cent so far in 2026, while the Nasdaq is up 18.78 per cent.
Most of the large technology companies known as the “Magnificent Seven” rose. Amazon gained 1.95 per cent, while Meta fell 0.41 per cent.
The gains came despite concerns over higher oil prices, rising interest rates and pressure on US government bonds linked partly to government debt. Morningstar Australia strategist Lochlan Halloway told Al Jazeera that the market’s outlook relied on AI investment continuing to deliver returns, and cautioned that gains were concentrated in a handful of companies.
In Wednesday morning trading, Asian indexes fell and Brent crude rose to US$101.45 a barrel by 02:30 GMT, according to Al Jazeera.
