NEW YORK — Technology stocks seized the session and refused to let go Thursday, delivering a broad equity rally that erased most of Wednesday’s Fed-driven losses and handed traders a strong close heading into a three-day Juneteenth weekend.
The S&P 500 closed at 5,843.11, gaining 1.08% on the day. The Nasdaq Composite surged 1.91%. The Dow Jones Industrial Average added a more modest 72 points, or 0.14%, to settle at 51,564.70. The Russell 2000 outperformed everything, climbing 2.12% to 2,979.77 — a number that deserves more attention than it’s getting. Within the S&P 500, 293 of its holdings advanced, with just three unchanged. Thursday marked the index’s 11th winning week in the last 12.
The Rebound the Fed Didn’t Want to Give You
Wednesday’s session was a study in disappointment. The Federal Reserve held its benchmark rate unchanged after its two-day meeting, as expected — but the dot plot that accompanied the decision was anything but neutral. Nine of 18 policymakers now project rate increases in 2026, a hawkish shift that spooked a market that had been quietly pricing in the next cut. Stocks fell hard Wednesday on that revelation.
Thursday’s buyers apparently read the same dot plot and reached a different conclusion: if the economy is strong enough for the Fed to consider hiking, then growth assets — particularly semiconductors tied to AI infrastructure buildout — should be bid, not sold. That logic held for most of the session. Whether it holds past a long weekend is a different question entirely. As we noted in our earlier analysis of whether jobless claims can offset a hawkish Fed, the labor market has given bulls just enough cover to keep buying dips, even when the rate outlook tightens.
Layered on top of the monetary policy backdrop was geopolitics. The U.S. and Iran formally signed their memorandum of understanding in France Thursday, agreeing to extend the ceasefire and reopen the Strait of Hormuz. The immediate market reaction was textbook: energy stocks dropped on the prospect of increased Iranian crude supply returning to global markets. What the tape is not pricing in — yet — is that an MOU is not a pipeline. The agreement still requires implementation, verification, and Congressional acquiescence on sanctions relief. Traders selling energy Thursday may be front-running a supply surge that is weeks or months away, if it materializes at all. For a deeper look at how this deal and Intel’s chip momentum have been holding the broader rally together, see our session analysis from earlier this week.
Semiconductors Did the Heavy Lifting — Again
Fourteen of the top 20 performers in the S&P 500 on Thursday came from the technology sector. That concentration of leadership is either a sign of sector conviction or a sign that the rest of the market isn’t fully bought in — depending on your prior.
Sandisk surged 11.63%, leading the index. Intel climbed 11.45%, extending a run that has made it one of the most-watched recovery stories in the market this month. Super Micro Computer rose 10.10%, continuing to benefit from its positioning as a direct-play infrastructure supplier to AI data center operators. The common thread across all three: they are proxies for AI capital expenditure, and Thursday’s session was a reminder that when risk appetite returns, that trade gets crowded fast. For context on Intel’s longer-term setup, our piece examining whether Intel’s gap-up signals a genuine semiconductor comeback remains worth a read before Monday’s open.
The Nasdaq’s 1.91% gain was not just a headline — it was the index reclaiming ground it had surrendered in the prior session with interest. The S&P 500’s technology sub-index added 0.99% on the day. Energy was the clear loser, pulled lower by the Iran MOU news. No other sector posted a meaningful decline, which made this feel less like a rotation and more like a broad rerating upward with one deliberate exception.
After the Bell: Power Infrastructure Steals the Spotlight
The most significant after-hours moves Thursday had nothing to do with earnings — they were regulatory. Bloom Energy surged 15.4% in extended trade to an all-time closing high of $328.91, driven by new Federal Energy Regulatory Commission directives designed to accelerate grid connection approvals for large power users, specifically AI data centers. When FERC moves to prioritize the interconnection queue for high-load facilities, fuel cell companies with existing relationships in the data center power market become immediate beneficiaries. Thursday’s after-hours move reflects that calculus.
Wolfspeed jumped 17.91% after hours to $57.41, fueled by renewed investor interest in its silicon carbide chips, which are used in both AI data center power management and industrial power conversion. Wolfspeed has had a difficult 18 months operationally, which makes the size of Thursday’s move notable — it suggests short covering alongside genuine re-rating, a combination that can produce violent moves in either direction when the momentum fades.
On the earnings calendar, no major reports landed after Thursday’s bell. Kroger was expected to report earnings of $1.59 per share on revenue of $45.39 billion, while Accenture carried consensus estimates of $3.71 per share on $18.75 billion in revenue. Neither report moved the broader tape heading into the weekend.
What the Long Weekend Means for Monday’s Open
NYSE and Nasdaq are dark Friday for Juneteenth. That means the next price discovery happens Monday morning, after roughly 72 hours during which the U.S.-Iran MOU could advance or stall, Fed speakers could add color to the hawkish dot plot, and any weekend geopolitical development will hit a market that cannot respond until the open. History suggests that long-weekend gaps — particularly when positioning is net long — tend to resolve in the direction of the preceding trend unless a hard news catalyst intervenes. The preceding trend, as of Thursday’s close, is unambiguously up.
That said, the Fed’s signal cannot be dismissed with one good session. If nine officials are genuinely aligned toward hiking, the bond market will eventually reprice — and when it does, the equity multiples underpinning a Nasdaq near its highs will face a test. The level that matters: if 10-year Treasury yields break meaningfully above 4.5% in the coming sessions, expect the multiple compression argument to resurface with force. For those tracking the Fed’s evolving posture, our earlier piece on whether the Fed’s rate-hike signal is disrupting the Versailles peace momentum provides useful context for how these two macro forces are colliding.
| Level / Event | Value | Signal |
|---|---|---|
| Russell 2000 resistance | 3,000 | A Monday open above this level with volume confirms small-cap breakout; failure here signals Thursday was a relief trade only |
| 10-Year Treasury yield | 4.50% | A sustained break above 4.5% reopens the valuation compression argument for high-multiple tech names |
| S&P 500 Thursday close | 5,843.11 | This level is the weekend anchor; a gap below it Monday morning flags overnight risk-off; a gap above extends the 12-week winning streak |
| U.S.-Iran MOU status | Signed / pending ratification | Any weekend headline suggesting the agreement is stalling would reverse Thursday’s energy selloff sharply on Monday’s open |
| Wolfspeed after-hours close | $57.41 | Watch for follow-through or reversal Monday — mixed short-cover and fundamental re-rating moves are unstable without a confirming catalyst |
Thursday delivered exactly what bulls needed: a clean reversal of Wednesday’s Fed anxiety, broad sector participation outside energy, and a tech leadership group that remains tied to one of the most durable spending themes in the market — AI infrastructure. The S&P 500’s 11th winning week in 12 is a number that commands respect. So does the fact that the Fed’s own projections are now pointing toward tighter policy, not easier. Both things are true simultaneously, and the resolution of that tension — whenever it arrives — will define the second half of 2026 for equity investors. For now, the tape belongs to the bulls. Monday will tell us whether the long weekend gave bears enough time to reorganize.
This article is published by PreMarket Daily for informational purposes only. Nothing here constitutes financial advice, investment recommendations, or an offer to buy or sell any securities. Always consult a qualified financial professional before making investment decisions.
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