### Tech Stocks Lead the Charge as Markets Edge Higher; Nvidia and AMD Stand Out

In a morning of cautious optimism, U.S. stock indices edged higher with a boost from technology shares, extending the market's rally from last month's lows. By late morning, the Dow Jones Industrial Average had increased by 0.2%, while the S&P 500 had gained 0.1%. The tech-heavy Nasdaq Composite showed stronger momentum, climbing 0.4%.

Investors were particularly buoyed by positive developments in the U.S.-China trade landscape and a favorable inflation report, which hit a four-year low in April. The S&P 500 even ventured back into positive territory for 2025 for the first time since early March. The rally reflects a strong start to the week, with the Dow now down just 1% for the year and the Nasdaq narrowing its year-to-date loss to 1.6%. Notably, the Nasdaq has risen nearly 30% since hitting its annual low on April 7.

Technology stocks played a crucial role in Wednesday's market performance. AI chipmaker Nvidia and electric vehicle giant Tesla, both of which saw over 5% gains the previous day, were up another 2% by late morning. Other major tech companies, including Microsoft, Apple, Alphabet, and Meta Platforms, showed slight upticks, while Amazon and Broadcom experienced slight declines.

Among standout movers, Advanced Micro Devices (AMD) surged 6% following the announcement of a new $6 billion stock buyback program. Super Micro Computer saw a 14% increase, building on a 16% rise the previous day due to heightened interest in its server products and collaboration with Nvidia. Data analytics software company Palantir continued its upward trend, gaining more than 1% after hitting a record high on Tuesday.

Meanwhile, the yield on the 10-year Treasury note fell slightly to 4.49%, following a close at 4.50% the previous day, its highest in over two months. The U.S. dollar index dropped by 0.2% to 100.78. In commodities, gold futures declined by 1.8% to $3,190 per ounce, while West Texas Intermediate crude oil slipped by 0.4% to $63.45 per barrel. Bitcoin fell to $103,200 from around $105,000 the prior afternoon.

Retailer American Eagle Outfitters faced a challenging morning, with shares plummeting 7% after the company pulled its full-year outlook. Analysts from JPMorgan responded by lowering their price target to $9 from $10. Preliminary first-quarter results showed a 5% year-over-year revenue decline and a 3% drop in comparable store sales. Rising costs and resistance to price increases in items such as fleece from the Aerie brand have added to the retailer's woes.

In summary, with the S&P 500 making its first return to positive territory for the year and the Dow and Nasdaq close behind, markets appear cautiously optimistic. Nvidia, in particular, has been a focal point, continuing its upward trajectory after reclaiming a $3 trillion market cap and announcing a partnership with a Saudi Arabian AI company. This bullish activity keeps investors focused on critical resistance and support levels for these influential stocks.