On Wednesday, the S&P 500 surged by 104.46 points (1.45%) to close at 7,364.72, while the Nasdaq Composite rose by 508.76 points (2.01%) to reach 25,834.88, both marking record highs. The rally was fueled by strong earnings from Advanced Micro Devices (AMD), which reported quarterly revenue forecasts exceeding expectations due to robust demand for its data center chips. This led to a significant rise in shares of AMD and other AI-related stocks, including Nvidia and Hut 8, which signed a $9.8 billion lease for its data center in Texas. The positive sentiment in the market was further bolstered by indications of a potential resolution to the Middle East conflict, as Iran reviewed a new U.S. proposal, contributing to a drop in oil prices by about 8% to $101 a barrel. With over 80% of S&P 500 companies reporting better-than-expected profits, the outlook for the economy remains stable, with analysts predicting the strongest profit growth in over four years. The labor market also showed signs of strength, with private payrolls posting their largest increase in 15 months. Investors are now looking ahead to the upcoming non-farm payrolls report, which is expected to show a 62,000 increase in jobs for April.