Intel's Earnings Propel Wall Street with AI Boom Amid Inflation Concerns

Wall Street experienced an uptick as futures tracking its main indexes rose following Intel's remarkable earnings announcement on Friday. The chip giant's shares soared 8% in premarket trading after surpassing third-quarter profit estimates, boosting positive sentiment in the broader market. Investors braced for an upcoming inflation report that might affect potential December rate cuts.

Tech stocks gained momentum too, with AMD and Micron Technology climbing 2.5% each. Intel's performance set an optimistic tone for the upcoming week, highlighting reports from tech leaders such as Apple and Microsoft, amidst the ongoing surge in AI-related investments. Earlier, investors were left wanting more after lackluster earnings from Tesla and Netflix.

Attention turned to geopolitics, as confirmation of a meeting between U.S. President Donald Trump and Chinese President Xi Jinping provided a hopeful outlook amid ongoing trade tensions. Meanwhile, investors remained cautious with a critical eye on the core CPI figures due on Friday, seen as key indicators for the Federal Reserve's next rate decision. Despite a dovish stance expected from the Fed, uncertainty remains, especially considering the U.S. government shutdown's impact on economic data.