AMD Earnings Propel S&P 500 and Nasdaq-100 Higher at Midday

Key Points

• Advanced Micro Devices (AMD) stock surged nearly 18% on May 6, 2026, following impressive Q1 2026 results driven by strong demand for AI accelerators.

• Oil prices fell over 6% amid reports that the U.S. and Iran are approaching a deal to resolve their conflict, although President Trump cautioned that a resolution is not guaranteed.

• The Dow Jones Industrial Average increased by 1.3%, while both the S&P 500 and Nasdaq-100 saw gains of 1.3% and 1.7%, respectively, on the same day.

AMD reported Q1 earnings that exceeded Wall Street expectations, primarily due to the booming AI market. The company’s stock rose by 17.5%, and Nvidia’s shares climbed by 5.3%, indicating a supportive environment for semiconductor stocks driven by AI. In contrast, a significant drop in oil prices reflected investor optimism about potential negotiations between the U.S. and Iran, despite ongoing uncertainties.

Oil prices dipped as much as 6% on speculation that a deal may include restrictions on nuclear enrichment. However, Trump’s comments regarding the uncertainty of an agreement and a pause on maritime escort plans contributed to a complex geopolitical backdrop. Average gasoline prices in the U.S. continued to rise, with a weekly increase of 1% reported by AAA, underscoring that market fluctuations are not immediately translating to lower consumer prices.