Stock Market Update

The stock market remains on track for a higher opening this morning, with renewed enthusiasm surrounding the AI trade providing much of the early support. Strong earnings and guidance from SpaceX (SPCX), alongside a substantial increase in Super Micro Computer's (SMCI) revenue outlook amid accelerating demand for its AI platforms, have helped ease some of the concerns that weighed on technology stocks in recent sessions.

The positive response is extending across AI infrastructure and semiconductor stocks, with the rebound also receiving support from a strong overnight session in South Korea, where the KOSPI gained 3.3%. Meanwhile, the 10-year note yield is down five basis points to 5.09%, providing an additional tailwind for growth stocks. The early rotation back toward technology follows yesterday's session in which the broader market outperformed despite weakness in several mega-cap names. Investors will be looking to see whether today's early strength can be sustained, particularly with another round of closely watched earnings reports scheduled for after the close.