Wall Street Hits Record Highs Fueled by Tech and AI Bets Amid Mideast Tensions

Wall Street ended its day higher as investors placed large bets on tech and AI companies and shrugged off the inflation spike that will likely occur from a long-drawn-out Middle East war.

The Dow Jones index gained 0.5% to 51,308 points, while the S & P 500 rose by 0.1% to 7,610 points — both of them hitting new record highs (again).

The Nasdaq Composite, meanwhile, was flat at 27,094 points.

US markets were was boosted by AI optimism as shares of Apple, Broadcom, Tesla, Micron Technology and AMD jumped by around 2-5% each.

Hewlett Packard shares jumped 19.5% after the AI server maker brought forward its long-term financial targets by two years.

Meanwhile, Google's parent company Alphabet said it was looking to raise $US80 billion in equity offerings, including an investment from Berkshire Hathaway, to fund a costly expansion of its AI infrastructure.

Marvell Technology's share price surged 32.5% after Nvidia CEO Jensen Huang called the chipmaker the next "trillion-dollar company" at the Computex conference in Taipei.

Marvell designs semiconductors, integrated circuits, digital signal processors and other products which are in high demand from companies building AI data centres.

Given Nvidia invested $US2 billion in Marvell back in March, it's not hard to imagine why Mr Huang is talking up the company's prospects.

- with Reuters

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That was despite lingering uncertainty about whether the US and Iran will be able to reach a deal to end their war, which has dragged on for three months (so far).

What's the latest on the US and Iran?

Once again, both warring nations have provided contradictory information on how peace negotiations are progressing.

Tehran is examining a US proposal to end hostilities, but has not been in contact with Washington for a few days, according to Iranian media.

But US President Donald Trump insists negotiations have been been going on continuously.

At the same time, Israel is continuing to launch strikes against Lebanon. That's despite Iran's warnings that the attacks are threatening to jeopardise peace talks with the US.

Against that backdrop, oil prices rebounded to a one-week high. Brent crude futures jumped 0.9% to $US95.87 a barrel.

Anyway, go make yourself a coffee, tea or breakfast and I'll be back with more updates shortly!