Investing.com – U.S. stock index futures held steady Wednesday evening after the S&P 500 reached a record high, driven by strong Netflix earnings and optimism surrounding Donald Trump’s AI investment plans.
were largely unchanged at 6,118.0 points, while inched 0.1% lower to 21,970.50 points by 19:07 ET (00: GMT). were also steady at 44,354.0 points.
S&P 500 hits record high with Netflix gains, Trump’s AI boost
Netflix Inc (NASDAQ:) shares surged nearly 10% on Wednesday after the company reported a record-breaking 19 million new subscriber additions in the fourth quarter of 2024, far surpassing Wall Street’s expectations.
Quarterly revenue rose to $9.5 billion, up 8% year-over-year, while net income came in at $915 million, reflecting a 12% growth.
Netflix also announced plans to raise prices for most subscription tiers in the U.S., Canada, Portugal, and Argentina, citing increased investments in programming.
AI stocks were also higher after President Trump unveiled a $500 billion joint venture, named Stargate, involving OpenAI, Oracle Corporation (NYSE:), SoftBank Group Corp. (TYO:), Microsoft Corporation (NASDAQ:), NVIDIA Corporation (NASDAQ:), and other tech leaders.
The collaboration aims to construct extensive AI data centers and electricity generation facilities in Texas over the next four years, significantly bolstering the nation’s AI capabilities.
Oracle shares closed nearly 7% higher, while Microsoft jumped 4.1% and Nvidia climbed 4.4%.
Arm Holdings ADR (NASDAQ:) shares surged 16%, while Amazon.com Inc (NASDAQ:) stock rose 2%.
This led to the hitting a record high of 6,100.81 points, but the index pared some gains later in the day to close 0.6% higher at 6,086.28 points.
The index rose 1.3% to 20,009.34 points, while the edged 0.3% higher.
Markets cautious on Trump’s policies; more earnings on tap
On January 20, Trump was inaugurated as the 45th President of the U.S., marking the start of a new administration that promised significant policy changes.
Immediately after taking office, President Trump began issuing a series of executive orders that underscored his campaign pledges.
Markets were cautious in anticipation of new tariffs under Trump’s administration. Trump avoided imposing blanket tariffs on his first day.
On Wednesday, he said he would impose 10% levies on China, and hit the European Union with tariffs.
For now, markets focus on corporate earnings and anticipate increased volatility with Trump’s policy announcements.
Quarterly earnings from Intuitive Surgical Inc (NASDAQ:), and GE Aerospace (NYSE:) were due on Thursday. Results from American Airlines Group (NASDAQ:) were also on tap.
