S&P 500 Approaches Record as SK Hynix Ignites AI Trade Revival

The S&P 500 neared record levels as SK Hynix's Nasdaq debut invigorated semiconductor stocks. The AI trade surged following SK Hynix's listing at $170, 14% above its offering price. Meanwhile, tension between the U.S. and Iran affected energy prices, with big banks poised to kick-start the earnings season.

The S&P 500 closed in on a record high Friday, fueled by South Korean chipmaker SK Hynix's impressive Nasdaq debut. The chip giant's listing sparked renewed interest in semiconductor stocks, as it began trading 14% above its initial offering price at $170, raising approximately $26.5 billion.

This optimism comes as investors gear up for the upcoming quarterly earnings season, with technology firms expected to lead a 24% earnings surge from last year. U.S.-Iran tensions, however, have revived fears of rising energy prices, potentially pushing the Federal Reserve towards interest rate hikes.

Within the S&P 500, eight out of eleven sector indexes advanced, notably information technology and consumer discretionary. As June's inflation data looms, analysts look to big bank reports for insights into economic health, while investors keep watch amid ongoing market volatility.