By Vicky Ge Huang and Ed Ballard
New developments in artificial intelligence lifted the S&P 500 to a ninth-consecutive day of gains on Tuesday, its longest winning streak in more than a year.
HPE shares soared after the server company described rampant AI demand, and Marvell Technology posted its best day on record after Nvidia's Jensen Huang said it could become the next $1 trillion company. AI giant Anthropic filed for its initial public offering, while Google parent Alphabet said it was looking to raise $80 billion via a stock sale.
Alphabet shares fell 3.9% after the announcement, which underscored the epic bill for the AI build-out. But demand for the stock has been high -- shares are up more than 15% in 2026 -- which analysts said gives the company ample scope to raise funds by issuing more.
New enthusiasm for the AI trade has helped boost stocks to repeated records in recent weeks, even as skirmishes persist in the Middle East, keeping oil prices volatile.
"It's all about tech. It's thankless to own the other sectors now," said Jay Hatfield, chief executive officer and portfolio manager at Infrastructure Capital Advisors. "Everything that's working is AI-related."
The S&P 500 gained 0.1% to eke out a record, and has climbed 3.5% in its nine-day run -- the longest streak of daily gains since early May 2025. The Dow Jones Industrial Average rose 0.4%, or around 229 points, to its own fresh all-time high. The Nasdaq composite added less than 0.1%.
All three indexes have now closed at records five sessions in a row for the first time since February 2017.
Chip stocks continued climbing, with an index of semiconductor firms rising 5.9%. The PHLX Semiconductor Index has now gained more than 90% from its 2026 low in March.
Marvell, a Santa Clara, Calif.-based company specializing in data infrastructure semiconductors and high-speed networking technology for data centers, gained 33% to a new all-time high after Huang appeared at a trade show in Taipei alongside Marvell CEO Matt Murphy.
HPE climbed 19% after the server and networking company pulled forward its long-term financial targets by two years and reported second-quarter earnings that blew past Wall Street expectations.
Shares in Victoria's Secret soared nearly 50% to a new all-time high after bra sales boosted the retailer's top line. Separately, the company announced Thursday that it will soon start trading under a new ticker symbol, VSXY, as part of a push by CEO Hillary Super to usher in what she calls "a new era of sexy" for the brand.
Meanwhile, shares of Fannie Mae and Freddie Mac, the government-backed mortgage giants, fell after Bill Pulte was appointed acting director of national intelligence.
Pulte, the close Trump ally overseeing the Federal Housing Finance Agency, has been an advocate of stock offerings for both entities. Shares in Fannie and Freddie, which trade over the counter, have surged since President Trump's election on hopes of an IPO.
The president said Pulte would remain director of the FHFA and the chairman of Fannie and Freddie.
War tensions continued to weigh on markets. Oil prices climbed for a second session, with Brent crude, the global gauge, adding 1.1% to $96 a barrel. That boosted energy stocks, with the S&P 500 energy sector rising 1%.
Write to Vicky Ge Huang at vicky.huang@wsj.com and Ed Ballard at ed.ballard@wsj.com
(END) Dow Jones Newswires
June 02, 2026 16:41 ET (20:41 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
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