Stock market today: Nasdaq surges 1.28% on tech optimism as S&P 500 and Dow Jones also rise amid strong earnings and AI momentum.

In a buoyant day for the stock markets, the major U.S. indices saw a notable upswing, with technology stocks spearheading the rally. The Nasdaq Composite surged by an impressive 1.28%, buoyed by optimism in the tech sector, particularly invigorated by strong earnings from Netflix and the anticipation surrounding emerging artificial intelligence projects. Meanwhile, the S&P 500 also enjoyed a healthy gain, rising by 0.61% as it edged closer to record highs, bolstered by robust corporate earnings that continue to lift investor sentiment.

The Dow Jones Industrial Average, often seen as a barometer of the economic health of the country, ticked up by 0.30%. This positive performance comes despite ongoing concerns over potential geopolitical tensions and tariff impositions. President Donald Trump's pivot toward boosting artificial intelligence infrastructure appears to have overshadowed the lingering threats of fresh tariffs on China and the EU, providing a tailwind for the tech-heavy indices.

Netflix played a pivotal role in the market's overall uplift, as the streaming giant not only exceeded analysts' profit expectations but also continued to drive excitement in the tech sector. The company's stellar performance was a catalyst for the Nasdaq's climb, as enthusiasm for tech stocks remained undiminished.

The market's upbeat mood was further fueled by a strategic shift in trade policies under the Trump administration, offering a degree of relief to investors wary of aggressive trade measures. Trump's re-election has seen a mix of executive orders that appear less combative than anticipated, particularly concerning tariffs, which has generally been received positively by the markets.

Additionally, the stream of corporate earnings has not only fortified the indices but has also been a source of optimism for market participants who are navigating a landscape characterized by both potential political policy shifts and evolving economic indicators.

As the day drew to a close, U.S. stocks maintained their upward trajectory, setting the tone for what investors hope will be a sustained period of growth fueled by technological innovation and strategic policy decisions. With the ongoing earnings season and policy developments in the spotlight, market watchers are keenly observing how these factors will shape the economic and investment landscape in the foreseeable future.