The S&P 500 and Nasdaq Composite hit record highs on Wednesday, recovering from a recent dip attributed to concerns about Oracle's cloud business and the sustainability of the AI trade. Nvidia's strong performance, fueled by CEO Jensen Huang's comments on rising computing demand and the company's investment in Elon Musk's xAI, boosted the tech sector. Despite these gains, fears of an AI bubble persist, drawing comparisons to the dot-com era. Meanwhile, the U.S. government shutdown continues with no resolution in sight.

Prepared by Christopher Adams and reviewed by editorial team.