S&P 500 and Nasdaq 100: Nvidia Fuels AI Rally as Tech Stocks Surge

Nvidia Sparks Monday Rally

June E-mini S&P 500 Index futures pushed to 7620.50 early Monday and June E-mini Nasdaq-100 Index futures are higher across the board. Nvidia dropped the N1X processor at Computex and the premarket reaction was immediate. ServiceNow jumped 14%. IBM and Hewlett Packard gained over 12%. Arm Holdings surged. The AI trade is not slowing down and June is starting where May left off. The Nasdaq gained over 8% last month. The S&P 500 added 5%. The Dow picked up nearly 3%.

Huang Brought the Catalyst

Jensen Huang used his Computex keynote in Taiwan to unveil the N1X processor, an Arm-based chip built in partnership with Microsoft and MediaTek for AI-powered personal computers. The chip combines Nvidia’s Blackwell graphics architecture with a custom Arm-based CPU that MediaTek helped develop. The whole point is handling heavier AI workloads on a laptop or desktop without burning through the battery. Nvidia is packaging it inside the RTX Spark platform and launching this fall in machines from Dell, HP, ASUS, Lenovo, and MSI. More than 30 laptop models and 10 desktop systems are in the pipeline.

Huang called it the smartphone moment for PCs. ServiceNow ran 14% in premarket. IBM and Hewlett Packard both gained over 12%. Arm Holdings took off. Intel and AMD have owned this business for decades. Qualcomm has been pushing in. Apple moved the Mac lineup to Arm three years ago and never looked back. Now Nvidia walks in with the GPU side already locked down. Nobody else has that.

The Vera CPU platform for data centers is also in full production. Anthropic, OpenAI, xAI, Oracle, Dell, and CoreWeave are onboard. N1X for laptops. Vera for data centers. Nobody else is selling both sides of the AI stack. The workloads keep getting heavier and every layer of the system needs more processing power. The AI spending story just moved past data centers and into every device category. That is what the premarket priced in before the bell.

Iran Deal Takes Risk Off

The United States and Iran reached a 60-day memorandum of understanding extending the ceasefire. President Trump said he would make a final decision after meeting advisers but repeated that Iran must never obtain a nuclear weapon and the Strait of Hormuz stays open. The market read it as both sides wanting to avoid escalation. West Texas Intermediate crude oil rose nearly 2% over the weekend and Spot Brent crude oil gained about 1.5% but the monthly picture tells the real story. West Texas Intermediate crude oil dropped nearly 17% in May, the steepest monthly decline since April 2025. Cheaper oil has been doing the Federal Reserve’s work on inflation.

Daily June E-mini S&P 500 Index Futures Technical Analysis

June E-mini S&P 500 Index futures reaffirmed their uptrend early Monday with a trade to 7620.50. The buying has been tentative so far on light volume. There is no resistance so for those trying to pick a top, the focus should be on the chart pattern. The first sign of weakness according to my experience will be a closing price reversal top and a subsequent confirmation.

The nearest support is the minor bottom at 7515.00. A trade through this level will shift momentum to the downside. The main trend will change to down when sellers take out 7354.25.

The main range is 7354.25 to 7620.50. Its rolling retracement zone support is 7487.50 to 7456.00. I expect buyers to come in on the first test of this level since the main trend is up. But, if 7456.00 fails as support, we could see a near-term acceleration into the main bottom at 7354.25.

I just want to emphasize that the price action and chart pattern should be the focus. Oscillators and indicators are coincidental. They’ll hook down after the fact. Don’t equate an extremely high RSI or stochastic with a major sell-off either. They don’t work that way. However, if do choose to use them as indicators then watch for a divergent pattern. One where the index is sloping up, but the indicator is sloping down. That formation ties in with the closing price reversal top.

Daily June E-mini Nasdaq-100 Index Futures Technical Analysis

June E-mini Nasdaq-100 Index futures are in an uptrend on both the minor and main swing charts. We’re not trying to pick a top but we are watching for one to form. Like the E-mini S&P, which is in a prolonged uptrend in terms of price and time, the E-mini Nasdaq could form a closing price reversal top at any time.

The minor trend will change to down on a trade through 29763.00. This will also shift momentum to the downside. The minor trend pivot at 30179.25 is also potential support today.

The main range is 28663.00 to 30595.25. Its rolling retracement zone support is 29629.25 to 29401.00. With the trend up, new buyers could come in on a test of this area. The main trend will change to down on a trade through 28663.00.

What to Watch

The Nvidia story carries into the open. A full computing stack from laptops to data centers with a customer list that includes the biggest AI names in the world is not something the market digests in one premarket session. The Iran ceasefire extension and a 17% decline in West Texas Intermediate crude oil during May have already taken geopolitical risk and inflation pressure off the table. Friday’s May Non-Farm Payrolls report is the next macro event but the market has to get through a full week of trading on the Nvidia story first.

June E-mini S&P 500 Index futures have no overhead resistance at 7620.50. Support is at 7515.00 with the retracement zone at 7487.50 to 7456.00. June E-mini Nasdaq-100 Index futures hold the uptrend above 29763.00 with retracement support at 29629.25 to 29401.00. Both indexes are in confirmed uptrends and until a closing price reversal top forms, the path stays higher.

More Information in our Economic Calendar.