U.S. stock index futures advanced on Monday, as the latest progress from
NVIDIA
in artificial intelligence boosted technology shares, temporarily overshadowing market concerns over U.S.-Iran tensions.
S&P 500 futures gained 0.3%, Nasdaq 100 futures climbed 0.5%, and Dow Jones Industrial Average futures rose by approximately 150 points. The technology sector led the gains, with investors shifting their focus towards ongoing breakthroughs in AI technology rather than geopolitical risks.
Shares of
NVIDIA
showed slight pre-market movement. The company's RTX Spark PC processor, unveiled at last week's Computex Taipei, has garnered widespread industry attention. This AI chip, developed in collaboration with Microsoft and Arm, is seen as a significant turning point for the PC industry. Analysts widely believe
NVIDIA
is extending its dominance in data center AI chips into the personal computer market, further solidifying its leadership in AI hardware.
Concurrently, the U.S.-Iran conflict remains a potential risk factor for the market. Iran has resumed production at three South Pars offshore gas platforms, while oil prices rebounded by over 3% on Monday after Friday's decline. However, investors appear more inclined to bet on the growth prospects driven by AI than to worry about the impact of geopolitical conflict on energy markets.
Regarding Federal Reserve policy, the market broadly expects the central bank to keep interest rates unchanged at its meeting next week. The non-farm payroll report due this Friday may provide crucial insights into the health of the labor market, which could influence the future path of interest rates.
Market observers note that the AI narrative from tech giants like
NVIDIA
is providing support for U.S. stocks, but geopolitical uncertainties and high valuations remain potential risk factors. As June trading officially commences, investors will seek a balance between technological optimism and macroeconomic risks.
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