Stocks Climb After Strong Data as AI Winners, Small-Caps Lead

US stocks clawed back most of this week’s losses with the strongest two-day run in two months after data signaling a resilient economy, President Donald Trump’s retreat on tariff threats and artificial intelligence updates whetted traders’ appetite for risky bets.

The S&P 500 rose 0.6%. The Nasdaq 100 gained 0.8% as chipmakers and AI-linked names led market gains. The Russell 2000 Index rose 0.8%, outperforming the broader benchmark a 14th straight session, the longest stretch of wins since May 1996. Intel Corp. shares fell around 5% in late trading after a disappointing sales forecast, the stock had climbed 47% since the start of the month.