Stock Market Today, April 27: S&P 500 Inches to New Record on Further AI Optimism

The S&P 500 (^GSPC +0.12%) inched up 0.12% to 7,173.91, reaching a new high. The Nasdaq Composite (^IXIC +0.20%) rose 0.20% to 24,887.10 on AI strength, while the Dow Jones Industrial Average (^DJI 0.13%) slipped 0.13% to 49,167.79 as geopolitical and rate jitters capped blue chips.

Market movers

Nvidia advanced to fresh records while and Micron Technology gained on positive analyst commentary. Persistent artificial intelligence (AI) and data-center optimism continues, though investors will be watching as several of the Magnificent Seven due to report earnings this week.

Microsoft wobbled after a joint announcement with OpenAI that ended its exclusive access to the technology, though it ended the day in the green. Poet Technologies cratered almost 50% after losing key orders from Marvell Technology.

What this means for investors

Continued Middle East tensions did not stop the S&P 500 and Nasdaq from edging upwards again today. Oil prices also rose, with WTI crude briefly topping $97 a barrel as blockades continue to stop tankers from passing through the Strait of Hormuz.

It isn’t easy to navigate markets that are hovering near highs while economists also warn about the long-term economic impact of elevated fuel costs. Diversification and careful risk management is crucial. Also watch for any commentary from the Federal Reserve following this week’s meeting on inflation and the wider economy.

AI and data centers are likely to dominate this week as Nvidia and Micron continue to surge. Some investors are looking for other AI plays, such as the companies that mine essential commodities or provide power.