The S&P 500 closed at a record high for the fourth consecutive day, with the tech-heavy Nasdaq also reaching a new all-time high, driven by strong earnings from Alphabet and optimism around artificial intelligence growth. Alphabet’s shares surged over 9% after beating Wall Street expectations, boosting confidence in big tech’s investments in AI. Mixed U.S. economic data was largely ignored as investors focused on tech resilience. The rally was also supported by positive results from Tesla and anticipation for Microsoft’s earnings. Despite Dow lagging due to sector rotation, the market tone remained positive.

Market participants are closely monitoring earnings season and the Federal Reserve’s next steps. Analysts expect the tech-led momentum to persist, as institutional buying continues to support growth narratives around AI and cloud computing. However, stretched valuations and potential disappointments from key companies like Apple and Amazon could trigger short-term corrections. Investors are advised to be cautious and understand the risks involved in trading.

Read more at Investing.com: S&P 500 Posts Fourth Consecutive Record Close on Google and AI Optimism