New York, June 1, 2026, 20:01 EDT
S&P 500 and Nasdaq futures gave up some ground late Monday, after both indexes closed at new records thanks to strong tech led by Nvidia. Hewlett Packard Enterprise shares moved higher after the bell on a better forecast, but U.S. stock-index ETFs slipped in after-hours trading.
AI stocks shake up trade as investors look past Nvidia
The late trade matters. Wall Street’s AI play—pushing software and chip bets tied to artificial intelligence—has moved beyond Nvidia. Now, investors are testing if server, networking, and software names can turn AI demand into actual revenue soon.
S&P 500 ended higher by 19.90 points, or 0.26%, closing at 7,599.96. Nasdaq Composite climbed 114.19 points, or 0.42%, to finish at 27,086.81. The Dow Jones Industrial Average was up 46.42 points, or 0.09%, at 51,078.88. According to Reuters, technology rose 2.5%. Tech and energy were the only S&P 500 sectors in positive territory out of the 11 tracked by the index.
Index-tracking exchange-traded funds pulled back in after-hours trading. SPY, tracking the S&P 500, dropped 0.23%. QQQ, which follows the Nasdaq 100, lost 0.35%. DIA, the Dow ETF, slipped 0.22%. IWM, tracking small-caps, dropped 0.26%, based on Investing.com quotes after the bell.
HPE popped after the bell. Revenue jumped 40% to $10.7 billion last quarter. Non-GAAP diluted earnings per share hit 79 cents. The company raised its guidance for fiscal 2026 revenue growth to 29% to 33%. HPE expects at least $3.5 billion in free cash flow for the year. CEO Antonio Neri said the company saw “strong execution and healthy demand.” HPE Investors
HPE shares jumped 36% in after-hours trading, Reuters reported. CFO Marie Myers told Reuters the company has been “agile” with cost increases and expects AI revenue conversion to “peak in Q4.” HPE is up against Dell and Super Micro Computer in the server and AI infrastructure market. Reuters
Nvidia again led the index on the day. Shares jumped 6.3% in the regular session after the company announced its RTX Spark chip, which is designed to bring AI features to PCs. CEO Jensen Huang called the launch the result of three years working with Microsoft to “reinvent the PC” for AI. Reuters
Other tech heavyweights moved as well. Microsoft was up 2.3%. ServiceNow added 9.2% and IBM gained 7.6%. Software names bounced after concerns over AI agents hurting software faded. Micron advanced 6.6%, hitting above $1,000 for the first time. Qualcomm and Intel dropped.
Gains stayed thin. Decliners topped advancers on the NYSE, and only two S&P 500 groups finished higher. “We don’t really know where things stand,” said Thomas Martin, senior portfolio manager at GLOBALT, pointing to market uncertainty over U.S.-Iran talks and oil’s risk premium. Reuters
Oil kept traders wary. Brent crude closed 4.24% higher at $94.98 per barrel with new U.S.-Iran tensions clouding talks. The 10-year Treasury yield stayed near 4.453%. “The market was trying to price a path to peace,” said Amanda Agati, chief investment officer at PNC Asset Management Group. Bill Strazzullo of Bellcurve Trading added, “Inflation is still a major story.” Reuters
Factory numbers gave investors more to chew on. The Institute for Supply Management said its manufacturing PMI hit 54.0 in May. That’s the strongest since May 2022; anything over 50 points to growth. But Oliver Allen, senior U.S. economist at Pantheon Macroeconomics, said “the durability of this manufacturing upturn remains in doubt.” He said some firms could be moving up orders because they are worried about supply-chain problems. Reuters
AI stocks could see more volatility if oil stays elevated, bond yields move higher again, or Friday’s payrolls numbers keep up the pressure on wages. Growth shares can get hit as higher yields cut into the value of future profits. The 10-year Treasury yield almost reached 4.52% before slipping to 4.46%, AP said, adding that steeper borrowing costs could squeeze small firms and funding for AI data centers.
Investors are still buying the stocks with the most direct AI revenue stories, putting off the tough questions. Traders will watch Broadcom’s numbers on Wednesday and the May jobs reading on Friday to see if Monday’s record finish was just another move driven by big names, or if something broader is taking hold.
