Markets surged on Monday as tech stocks led a broad-based rebound, with Alphabet and semiconductor companies driving gains across major indices. The Nasdaq Composite climbed 2.7%, while the S&P 500 rose 1.5%, extending Friday’s momentum and signaling renewed investor confidence in the technology sector. Shares of Alphabet, the parent company of Google, jumped more than 6% amid strong performance and optimism surrounding its AI initiatives. The rally was fueled by broader enthusiasm for AI-driven growth, with investors appearing to move past earlier concerns about an AI bubble. Tesla also posted a gain of over 6%, adding to the momentum in high-profile tech names. Semiconductor stocks were among the top performers, with Broadcom rising 5.5%, Advanced Micro Devices (AMD) gaining 5.53%, and Micron Technology surging 7.99%. The strong results reflected continued demand for chips used in data centers, AI systems, and consumer electronics, as well as growing confidence in the sector’s long-term trajectory. The performance of the “Magnificent Seven” — a group of leading tech stocks including Apple, Microsoft, Amazon, Nvidia, Meta, Alphabet, and Tesla — was particularly notable. A fund tracking these companies rose 3.3%, marking its largest single-day increase since May and underscoring the market’s renewed focus on AI and technology innovation. Analysts suggest that the rally indicates a shift in sentiment, with investors increasingly confident in the sustainability of AI-related growth. After a period of volatility and skepticism, the market appears to be re-energized by tangible progress in AI deployment and stronger-than-expected earnings from key tech firms. The rebound also highlights the central role technology plays in shaping market dynamics, as investor appetite for innovation-driven stocks continues to outweigh concerns about valuation and competition.