Tech rally lifts Intel and Boeing as AI optimism, easing oil prices support stocks

Traders Union
All News
Financial News
Tech rally lifts Intel, Boeing

Highlights

West Texas Intermediate crude drops to $76 a barrel after U.S.–Iran Strait of Hormuz talks, easing fuel cost concerns and supporting equities.
Intel and Microsoft extend AI-driven rally, bolstered by reports of potential Trump administration bans on Chinese robotics and inverters, fueling optimism in domestic technology stocks.
Boeing advances toward its highest close since May 13 as lower oil prices, a double-upgrade to outperform by BNP Paribas, and FAA certification of the 737 Max 7 boost recovery expectations.

Market drivers behind Tuesday's gains

As reported by CNBC, sentiment improves after Treasury Secretary Scott Bessent says on "Squawk Box" that the U.S. is in talks with Iran and that a deal to reopen the Strait of Hormuz could come "today or tomorrow." His comments send West Texas Intermediate crude down to roughly $76 a barrel, helping ease concerns about fuel costs and supporting the broader market.

At the same time, artificial intelligence and data center shares extend their recent rally. The move is also helped by reports that the Trump administration is considering a new ban on Chinese robots and power inverters, adding another policy angle to investor enthusiasm around domestic technology names.

Jim Cramer says Club holding Intel is "finally flying" and remains his preferred way to play the AI trade. Microsoft also stays on track for a fifth straight day of gains, underscoring the strength of the current technology rebound.

Boeing recovery narrative gains momentum

Boeing is on track for its highest close since May 13 after three developments strengthen the case for an operational turnaround. Lower oil prices improve sentiment toward airlines by reducing pressure on fuel costs and supporting expectations for aircraft demand.

BNP Paribas also double-upgrades Boeing to outperform after keeping a bearish view on the stock since November 2025, citing improving fundamentals. In addition, the Federal Aviation Administration certifies the delayed 737 Max 7, marking another step in Chief Executive Kelly Ortberg's effort to restore production and execution.

Cramer says those developments reinforce his confidence that Boeing's recovery is taking hold. He also notes that while the long-term outlook for Microsoft and Amazon remains positive after post-earnings rallies of 27% and 17%, respectively, he is questioning whether the sharp run-up means it is time to take some profits.

Amazon, however, slips 2.5% after founder Jeff Bezos discloses plans to sell roughly $4 billion worth of stock following the company's post-earnings surge. Even so, both Amazon and Microsoft continue to benefit from investor confidence that their heavy AI spending is beginning to produce meaningful returns.

In our earlier update on U.S. premarket trading, we covered how stock futures climbed as oil prices eased on hopes of a U.S.-Iran agreement to reopen the Strait of Hormuz. We also noted that upbeat earnings and guidance from several large companies—along with AI- and data center-related demand signals—helped lift risk appetite across sectors heading into the session.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.