The AI trade is fueling the market to record highs despite Iran war

The article says the AI-driven rally has pushed the US SP 500 to fresh all-time highs despite geopolitical jitters from the Iran conflict and volatile oil markets. High-margin tech, led by chipmakers and hyperscalers, has absorbed commodity cost pressure, helped by long-term power contracts and resilient supply chains. Semiconductors and AI beneficiaries—Nvidia, Amazon, Alphabet, Tesla and others—have seen double-digit gains, and sector ETFs like SOXX have surged since late March. Taiwan Semiconductor said near-term operational impacts are unlikely due to diversified suppliers and safety stock. Oil briefly plunged after an Iran-related shipping announcement but did not derail the market highs.