Alphabet shares pushed the Dow to a new high; chipmakers returned to growth

The rise of several tech giants, including Alphabet shares—which are part of the Dow Jones Industrial Average—supported the stock market on June 29. The recent sell-off in artificial intelligence-related stocks attracted buyers who are betting that the investment boom in the sector will continue to support strong corporate earnings, Bloomberg reports. This shortened week could lead the market to its best quarter in six years, the agency notes.

— The S&P 500 broad-market index rose 1.17% on June 29.

— The Dow Jones Industrial Average (DJIA), a blue-chip index, rose 0.59% on Monday and reached a new high of 52,182.08 points. This was the index’s 18th record closing high this year, notes MarketWatch.

— The Nasdaq Composite technology sector index rose 2.07%.

— The Russell 2000 Small- and Mid-Cap Index fell 0.1%.

— Brent crude oil futures rose 1.1% to $72.78 per barrel, while WTI crude oil futures rose 1.76% to $70.45 per barrel.

The Bloomberg “Magnificent Seven” index, which had largely underperformed the market this month, rose 2.5% on Monday. Alphabet shares jumped nearly 5% on their first day of trading as part of the DJIA: index funds were buying these shares. Chipmakers’ shares also rebounded from their lows after their worst week since April 2025: the iShares Semiconductor ETF, which has exposure to semiconductor companies, rose 4.1% on June 29. Astera Labs, KLA, and Applied Materials led the rally, rising 16%, 12%, and 11%, respectively. According to Dow Jones Market Data and FactSet, the iShares Semiconductor ETF has risen 86.8% since the start of the quarter—which could make it the fund’s best quarter on record, MarketWatch notes.

Comcast shares jumped 5.7% after the company announced that it would spin off its media and technology businesses into separate publicly traded companies. The split is expected to be completed in about a year. Shares of the space company SpaceX rose 7.1%.

Oil prices rose on June 29 as traders continued to assess the fragile truce between the U.S. and Iran—the two sides exchanged blows again over the weekend, CNBC reports. On Sunday, the countries agreed to a pause in hostilities and to allow commercial vessels free passage through the Strait of Hormuz. According to tanker tracking data compiled by Bloomberg, ships carrying approximately 14 million barrels of Iraqi oil have left the Persian Gulf over the past 10 days. They are now transporting the crude to buyers in Asia, Europe, and the U.S.

— “Liquidity may be slightly lower due to the shortened holiday week [U.S. stock exchanges will be closed on Friday for Independence Day], so [market] movements may turn out to be stronger than expected, — said Joe Tigay, portfolio manager at Equity Armor Investments, in an interview with CNBC. — In addition, the end of the quarter is approaching, which may prompt managers to make cosmetic adjustments to their portfolios ahead of quarterly earnings reports. They are also taking some profits. Many large companies have seen very strong growth since the start of the year, so many advisors and managers are taking profits now.”

— Last week’s pullback in tech stocks looked more like profit-taking than a breakdown of the market rally driven by developments in artificial intelligence, according to Ross Mayfield, an investment strategist at Baird Private Wealth Management. Investors rushed to lock in profits on some of the highest-performing tech stocks last week, Mayfield explained to MarketWatch. However, he said that for stocks of companies involved in artificial intelligence and chip manufacturing—which had been driving the overall market’s growth—nothing fundamental has changed. “In cases like this, I’m not worried that [the correction] will last long,” Mayfield said. He added that Monday’s rebound in tech stocks shows that buyers are already returning.

This article was AI-translated and verified by a human editor