US Stock Market Outlook: Iran Deal Progress, AMD and Micron Surge, Corning Soars.

US Stock Market Overview

On Wednesday morning, US stock index futures rose collectively. As of the time of writing, the Dow futures were up 1.16%, Nasdaq futures increased by 1.65%, and S&P 500 futures rose by 0.97%.

Commodity Market Movements

In the commodities market, WTI crude oil futures fell by 11.56%, dropping below $90 per barrel. Meanwhile, spot gold surged by 3.01%, briefly surpassing $4700 per ounce, marking a historical high.

Pre-Market Movements of Major Tech Stocks

Star tech stocks showed mixed results in pre-market trading:

• AMD rose over 19%
• Micron Technology (MU) increased nearly 6%
• NVIDIA (NVDA) was up 2.37%
• Microsoft (MSFT) gained 0.13%
• Amazon (AMZN) rose 1.03%
• Google-A (GOOGL) increased by 1.69%

Semiconductor Sector Performance

The semiconductor sector was strong, with Arm Holdings (ARM) rising over 13%, and both Qualcomm (QCOM) and Astera Labs (ALAB) increasing by over 6%.

Airline Services Surge

Airline stocks also performed well, with:

• Delta Air Lines (DAL) up 7.57%
• United Airlines (UAL) up 7.94%
• American Airlines (AAL) up 7.84%

This surge was supported by expectations of a recovery in summer travel demand.

Notable Earnings Reports

AMD reported Q1 earnings that exceeded market expectations, with AI chip revenue growing over 300% year-on-year. The company raised its full-year AI revenue guidance, anticipating an increase in market share by 2026.

Micron Technology saw its market cap surpass $700 billion for the first time, driven by rising storage chip prices and strong demand for AI server DRAM.

Disney (DIS) reported Q2 earnings and revenue that exceeded expectations, leading to a pre-market rise of over 4%.

Other Significant Developments

• Anthropic, an AI startup, committed to investing $20 billion in Google Cloud over the next four years, strengthening Google's position in the AI cloud computing market.
• SpaceX plans to invest $55 billion in a semiconductor factory in Texas, aimed at producing chips for its Starlink project and AI computing.

Market Reactions to Geopolitical Developments

The market showed increased risk appetite following news that the US and Iran are nearing a ceasefire agreement, which could ease tensions and impact oil prices. WTI crude oil futures fell over 6%, alleviating inflationary pressures.

Gold Prices Reach New Highs

Spot gold prices reached $4700 per ounce, driven by safe-haven demand and a weaker dollar, reflecting ongoing concerns about long-term inflation and geopolitical risks.

Economic Outlook

The White House projected a 4% GDP growth for the US in 2026, higher than the market consensus of 3.2%, bolstered by a recovering job market and increased corporate investment.

Upcoming Economic Data

• 20:15: US ADP employment numbers for May
• 22:30: EIA crude oil inventory changes for the week ending May 2
• 20:30: Initial jobless claims for the week ending May 3