Stock futures rise as traders evaluate latest raft of earnings; SpaceX shares surge: Live updates - CNBC
Stock markets rose as investors reacted to strong earnings from SpaceX and potential merger talks between SpaceX and Tesla. The surge in AI-related stocks has renewed market optimism regarding the sector's growth.
Why it matters
The market's reaction to SpaceX and AI-related companies indicates that investor confidence in the AI trade remains high despite concerns over infrastructure spending.
Stocks rose on Wednesday as the latest developments surrounding SpaceX and Tesla led investors to move back into technology.
The Nasdaq Composite added 1.05% to end at 26,702.86, and the S&P 500 rose 0.58% to 7,757.17. The Dow Jones Industrial Average climbed 360.21 points, or 0.69%, to close at 52,856.09.
Shares of Elon Musk's SpaceX surged 7% after the company said its revenue grew 161% in the third quarter. Musk also said that SpaceX and Tesla, his auto manufacturer, have formed special committees to discuss a merger. Tesla, which is due to report earnings later, saw shares rise more than 3%.
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