Wall Street’s major indexes opened higher on Monday, extending last week’s gains as a fresh wave of artificial intelligence enthusiasm continued to power the market.
The latest boost came from Advanced Micro Devices’ (AMD.O) new chip-supply agreement with OpenAI, which reassured investors and overshadowed lingering concerns about a potential prolonged U.S. government shutdown.
The Dow Jones Industrial Average (.DJI) climbed 17.8 points, or 0.04%, to open at 46,776.04, maintaining its recent upward momentum. The S&P 500 Index (.SPX) added 18.1 points, or 0.27%, opening at 6,733.86, while the tech-heavy Nasdaq Composite (.IXIC) advanced 113.8 points, or 0.50%, to 22,894.35, reflecting strong investor appetite for technology stocks tied to AI growth.
The AI sector remains the heartbeat of Wall Street’s rally, and AMD’s partnership with OpenAI has intensified excitement over the industry’s long-term potential.
The deal, which follows a string of high-profile artificial intelligence collaborations across Silicon Valley, reinforced expectations that AI-driven demand will continue to fuel earnings growth for chipmakers and tech giants.
Investor sentiment has grown increasingly tied to developments in the AI ecosystem, which many see as a key catalyst for the next phase of corporate and market expansion.
By securing a new supply tie-up with OpenAI, AMD positioned itself to compete more aggressively in the high-end chip space dominated by Nvidia, further lifting the broader semiconductor sector.
While optimism around AI bolstered stocks, traders remained cautious amid Washington’s budget standoff and the threat of a prolonged federal government shutdown. Historically, markets have weathered short-term shutdowns, but an extended impasse could disrupt federal spending, delay economic data releases, and weigh on sentiment in the coming weeks.