US stocks rise as CoreWeave results ease AI spending worries

US stocks closed higher Wednesday, with the S&P 500 and Nasdaq each rising over 1%, after CoreWeave's earnings eased investor concerns about AI spending sustainability, while Nvidia stabilized following two straight days of sharp losses. CoreWeave shares surged 24.7%, their biggest daily gain in over three months, after the neocloud company said it would become profitable by the first half of 2028 on an adjusted basis. AI infrastructure stocks rallied broadly, with Nebius Group jumping 15.4% and Applied Digital rising 7.4%. The market rebound follows recent volatility driven by worries over AI regulation after Democratic midterm election wins and Nvidia leadership concerns. Investors also weighed higher-than-expected inflation data, which boosted expectations for a Federal Reserve rate hike next month.