Nasdaq 100 Gains $3.5 Trillion in Four-Day Tech Rally

The Nasdaq 100 index recorded a $3.5 trillion increase in market capitalization over four days, marking its sharpest rally since April 2025. The benchmark jumped 9.3%, reversing a technical correction in which the index had previously fallen 11% within a single month.

Strong second-quarter earnings and renewed investor confidence in artificial intelligence returns drove the surge. Technology stocks beat earnings estimates 90% of the time, leading to significant gains for specific companies. Nebius Group NV surged 52%, SanDisk Corp. rose 41%, Palantir Technologies Inc. jumped 32%, and Microsoft Corp. increased 26%. In contrast, Apple Inc. diverged from the trend, declining 8.5%.

Data from Goldman Sachs Group Inc. indicates that hedge funds added information technology stocks at the fastest pace since December 2022, often using the rally to cover previous short positions.