US equity markets closed higher on Thursday, with the Dow Jones Industrial Average rising 280.77 points, or 0.54%, to finish at 52,488.83.
The broad advance was driven by a rebound in technology shares, led by Amazon, which helped soothe lingering investor anxiety regarding the pace and profitability of artificial intelligence spending.
Amazon shares surged following the company's earnings report, which exceeded market expectations.
The strong performance from the e-commerce and cloud computing giant provided a much-needed catalyst for the Nasdaq Composite, which had faced pressure from doubts over whether AI infrastructure investments would translate into near-term revenue growth.
The rally signaled that investors are beginning to accept the narrative that major tech firms can monetize their AI bets effectively.
The market's positive reaction comes after a period of volatility where concerns over high capital expenditures in the tech sector weighed on sentiment.