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Snowflake stock jumped nearly 40% after a $6 billion Amazon deal and strong earnings fueled by AI demand. Major indexes closed at record highs.
Snowflake shares surged nearly 40% on Thursday, driven by a $6 billion deal with Amazon and better-than-expected earnings that highlighted strong demand for artificial intelligence [2, 1]. This rally brought the cloud software maker's stock back into positive territory for the year, with analysts viewing the AI boom as an "accelerant" for the company's platform [2]. The broader market also saw gains, with major indexes closing at record highs, led by a tech-stock advance [1].
Key takeaways
The Nasdaq, S&P 500, and Dow Jones Industrial Average all finished Friday at record highs, marking a strong close for the month of May [1]. The tech-heavy Nasdaq Composite and the benchmark S&P 500 each rose 0.2% on Friday, while the Dow Jones Industrial Average gained 0.7% [1]. For the month of May, all three indexes closed significantly higher, with the S&P 500 extending its winning streak to nine consecutive weeks [1].
Snowflake's significant jump followed news of a $6 billion deal with Amazon and the planned acquisition of a platform for AI agents [2]. The company's earnings beat estimates, with analysts from William Blair noting a "clear inflection for AI adoption" among Snowflake's customers and reinforcing the view that AI is an "accelerant" for the broader platform [2]. Wedbush analysts increased their price target for Snowflake, citing its "deep infrastructure capabilities" as a strong position to "capitalize on the AI Revolution" [2].
Other technology stocks also saw notable movements. Dell Technologies jumped 32% after reporting better-than-expected results and an improved outlook driven by AI demand [1]. Microsoft shares rose 5.5% [1]. The Information Technology sector was one of only two sectors in the S&P 500 to finish in positive territory, contributing to the index's overall rise [1].
While tech stocks showed strength, the broader market saw mixed performance across sectors. The Information Technology and Financials sectors were up, helping the S&P 500 index rise, but Consumer Staples and Communication Services were among the biggest decliners [1].
In other market news, SoFi Technologies saw its shares rise about 8% following the announcement that the company now offers its own dollar-linked stablecoin, SoFiUSD [1]. This development comes amid optimism about potential stablecoin regulation, though some banks, like JPMorgan Chase, have expressed concerns about stablecoin rewards competing with deposit interest [1].
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 2 outlets · Jun 2, 2026 ·
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