Chipmakers helped drive the gains. Nvidia rose 1.6% after Meta Platforms said it would deploy millions of Nvidia chips in its data centre expansion. Micron Technology jumped more than 5% after David Tepper’s Appaloosa Management increased its stake in the company.
Among the “Magnificent Seven” stocks, Amazon climbed nearly 2% after regulatory filings showed Bill Ackman’s Pershing Square raised its stake in the company by 65% in the fourth quarter, making it the fund’s third-largest holding. The move followed the stock snapping a nine-day losing streak.While large-cap technology stocks supported the broader market, gains were not limited to megacaps. Stephen Lee, founding principal at Logan Capital Management, told CNBC that “lesser-known” technology names, including industrial tech firms such as Trimble, were also performing well.
“I’m not sure today is actually eliminating the broadening out thesis when we kind of peel the onion and look at relative winners,” Lee said, adding that the market is growing “a little bit more discerning.”Investors also digested minutes from the Fed’s January meeting, which showed policymakers broadly supported holding the benchmark interest rate steady at 3.5% to 3.75%, though officials were divided on the path ahead.
The session followed a muted performance earlier in the week, when major indices posted muted gains while software stocks remained under pressure due to concerns about AI disrupting traditional business models.
Andrew Tyler, head of global market intelligence at JPMorgan, told Bloomberg the market may be entering a “new normal for 2026 — small broad index moves with elevated volatility below the surface,” as sector-level swings intensify even when headline indices show limited movement.
In commodities, oil prices rose after US Vice President JD Vance said Iran had failed to address US red lines in recent nuclear talks and that military action remained a possibility.
Markets will now turn their focus to upcoming economic data and corporate earnings for further direction.
