US stocks creep higher in tech-centric rally

Tech stocks did the heavy lifting on Wednesday to prevent major downside across key indexes.

The S&P 500 inched up 0.1% and the Nasdaq 100 rose 0.6%, while the Russell 2000 dropped 0.9%.

The S&P 500’s advance-decline line was firmly tilted to the downside, with the number of stocks falling outnumbering those that rose by 204.

The only S&P 500 sector ETFs that finished in the green were the ones home to the Magnificent 7: tech, communication services, and consumer discretionary. Healthcare once again brought up the rear with a big drop.

Super Micro Computer was a standout performer, rising double digits after striking a $20 billion multiyear deal to supply a Saudi Arabian data center company with servers.

Nvidia booked another large gain as Bank of America analysts said that sovereign AI deals (like the one struck with Saudi Arabia this week) could offset the impact of export restrictions. AMD, which also reached an agreement to sell chips to the Kingdom, soared after management boosted its buyback authorization.

Boeing posted a paltry advance even as the White House said Qatar Airways is posed to purchase $96 billion worth of planes.

Rocket Lab USA lived up to its name after touting its second successful Earth return operation in as many months.

Sony jumped out of the gates after reporting better-than-expected fourth-quarter earnings, but gave back a big chunk of that rally by the close.

PVH, parent company of the likes of Calvin Klein and Tommy Hilfiger, surged on the heels of an upgrade to “buy” from Jefferies. Rivian, on the other hand, dipped after being downgraded by the same firm.

American Eagle had its wings clipped after posting ugly preliminary Q1 results and yanking its full-year guidance, citing “macro uncertainty.”