Stock Market Update

[BRIEFING.COM] The major averages boast impressive gains as the market enters the final half hour of the session. Attention now turns to another sizable batch of earnings reports after the close, with several key names in the mix.

Advanced Micro Devices (AMD 526.67, +42.03, +8.67%) heads into this report with elevated expectations following back-to-back beats and an expanded outlook for its Data Center business. Investors will focus on whether strong EPYC and Instinct demand can drive another step-up in Data Center revenue and what management says about the timing and scale of the Helios ramp beginning in the second half. While Q2 results will be important, guidance and whether the outlook supports continued Data Center growth and the expected second-half Helios ramp will likely matter more. AMD already expects double-digit sequential growth in both server CPU and Data Center AI revenue in Q2, reinforcing the strength of its current Data Center tailwinds. That puts greater emphasis on whether momentum can build through the second half as Helios begins to scale. Gross margin will also be closely watched as favorable Data Center mix offsets the initially lower margin profile of MI450. A constructive Q3 outlook and confidence in a larger Q4 ramp would further support AMD's expanded Data Center growth outlook.

Meanwhile, SpaceX (SPCX 124.13, +9.60, +8.38%) heads into its first report as a public company with shares rebounding from recent lows, although the stock remains below both its $135 IPO price and $150 opening price. Despite the pullback, SpaceX still carries a lofty valuation, leaving a high bar for Starlink growth and profitability as the company spends heavily across AI infrastructure and Starship. Accordingly, Starlink growth and margins, the pace of capital spending, and the AI and Starship development roadmaps are likely to be key focuses.