Amazon, Chip Stocks Fuel US Market Gains Amid Inflation Worries
The US stock market closed higher on Friday despite concerns about inflation and rising oil prices. The S&P 500 rose 0.7% after a seesaw week that could be its first winning one in three months.
Amazon led the charge, with its shares jumping 13.8% after reporting stronger-than-expected profits for the latest quarter. The company's profit more than tripled from a year earlier, thanks to growth in its cloud computing business.
The tech sector was also boosted by chipmakers, which have been gaining on concerns that companies' investments in AI data centers may not be paying off. Micron Technology rose 5.9% and Advanced Micro Devices climbed 6%, lifting the S&P 500 along with Amazon.
In contrast, Apple fell 9.1% despite reporting stronger profit for the latest quarter than expected. Analysts say it's becoming an 'anti-AI' bet among Big Tech stocks due to its limited spending on AI technology compared to rivals.