Stock Market Today, Feb. 25: Nasdaq Gains 1.3% As Nvidia Reignites AI Optimism
The Motley Fool
by newsfeedback@fool.com (Emma Newbery)February 25, 2026
AI-Generated Deep Dive Summary
The U.S. stock markets showed steady gains on February 25th, with the Nasdaq Composite leading the way by climbing 1.26% to close at 23,152.08. The S&P 500 rose 0.81%, reaching 6,946.13, while the Dow Jones Industrial Average added 0.63% to settle at 49,482.15. This upward movement was largely driven by strong performance in technology stocks, with Nvidia (NASDAQ:NVDA) being a key catalyst for market optimism.
Nvidia's shares surged ahead of its earnings report, which highlighted bumper revenue forecasts and reinforced its position as a leading indicator for artificial intelligence (AI) stocks. The company’s gains were mirrored by other AI-related firms, including Taiwan Semiconductor Manufacturing (NYSE:TSM), Dell Technologies (NYSE:DELL), and Micron (NASDAQ:MU). These advancements underscored the growing confidence in AI-driven technologies.
The broader market sentiment was bolstered by positive earnings news, with investors expressing optimism about future growth. However, not all sectors saw gains; Lowe’s (NYSE:LOW) dipped after its latest results. Meanwhile, biotech stocks experienced significant volatility, with NovoCure (NASDAQ:NVCR) surging 27.67% due to regulatory progress, while MannKind (NASDAQ:MNKD) dropped sharply following a competing product announcement.
This market activity highlights the dynamic interplay between technology innovation and investor sentiment. The rise of AI stocks, particularly Nvidia's leadership, signals a broader trend reshaping the financial landscape. For readers interested in finance, understanding these shifts is crucial for identifying investment opportunities and gauging market trends.
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Originally published on The Motley Fool on 2/25/2026