Tech Rebounds Sharply on Easing Geopolitical Tensions

The S&P 500 climbed 1.75% to close at 7,394.30 as technology shares rebounded sharply following signals that a U.S.-Iran peace agreement could be signed soon. The Nasdaq ripped 2.5% higher with semiconductor stocks leading the recovery after President Trump cancelled planned strikes on Iran. Polymarket traders assigned an 83% probability the benchmark index would extend gains at Friday's open, reflecting improved risk appetite across the sector.

Nvidia ($NVDA) has begun pitching its new Vera central processors to Chinese clients with availability expected as soon as August, according to sources familiar with the matter. The move raises stakes in competition with Intel ($INTC) and Advanced Micro Devices ($AMD) as all three firms race to increase server CPU supplies for AI data centers. Broadcom ($AVGO) continues to draw attention as the second-largest AI chip franchise behind $NVDA, with CEO Hock Tan guiding toward $56 billion in AI semiconductor revenue. Marvell Technology ($MRVL) shares traded at approximately $273 after gaining 8% and extending a 57% rally over the past month ahead of its scheduled S&P 500 index inclusion on June 22. Marvell appointed former Adobe CFO Dan Durn as its new Chief Financial Officer as investor attention around the company has increased due to AI infrastructure buildouts.

Salesforce ($CRM) has begun a new round of layoffs affecting at least 86 employees in California and abroad, with teams tied to AI and Marketing Cloud among those impacted. The layoffs are part of a broader shift toward AI-focused business models and revised software monetization as the company reshapes operations around AI rather than simply trimming costs. Palantir Technologies ($PLTR) announced a series of new enterprise AI deployments including multiyear, multimillion dollar collaborations with McCarthy Building Companies, GNP Seguros in Mexico, and law firm Kirkland & Ellis. IBM and ServiceNow ($NOW) announced a new multiyear collaboration to modernize legacy enterprise systems and enable large-scale AI deployment, combining IBM's AI, data, and automation offerings with ServiceNow's AI Platform. Microsoft ($MSFT) received a bullish boost from BNP Paribas on optimism that Copilot breakthrough could drive AI seat adoption far above Wall Street expectations.

SpaceX priced the largest IPO in market history at a $75 billion valuation, more than 7.5 times the size of Alibaba's IPO which previously held second place. Alphabet ($GOOGL) subsidiary Waymo unveiled a $30 membership offering priority pickups, ride credits, and early access in future cities as weekly robotaxi rides reached 500,000. Hitachi expanded its alliance with Google Cloud to accelerate deployment of physical AI and next-generation cybersecurity solutions, while also announcing a new partnership with Intel focused on physical AI, factory automation, quantum computing, and edge AI applications.

Super Micro Computer ($SMCI) collapsed 27.98% in a single session after posting a 17.75% revenue miss against consensus, followed by a $7 billion equity-linked financing announcement. The sell-off highlights how the current AI cycle punishes even established players for missing elevated expectations. Broadcom ($AVGO) shares declined despite beating both revenue and earnings lines, demonstrating that strong results alone no longer satisfy investors in AI semiconductor names. Analysts noted that $AVGO combines strong earnings growth with reasonable valuation, earning top GARP ratings for expansion and profitability with a lower forward P/E than industry peers.