Ignoring the Fed: Wall Street Resumes Rally Amid AI Infrastructure Boom

Investors continue to play roulette with Big Tech's capital expenditures. On August 5, 2026, US stock markets (S&P 500, Nasdaq) moved upward again, led by the shares of hyperscalers and AI chip manufacturers.

This growth looks absolutely bipolar against the backdrop of recent sell-offs and the Fed's morning warnings about a credit bubble. Stock speculators are betting that the infrastructure cycle (building gigawatt data centers and purchasing silicon) will continue at any cost because no corporation can afford to lose the arms race. NVIDIA and memory manufacturers remain the main beneficiaries of this panic. However, the macroeconomic reality is this: Wall Street is buying the dips on expectations, ignoring the lack of real B2B return on investment (ROI) from generative models. The market continues to live in a FOMO (fear of missing out) paradigm.

Source: MarketWatch / Reuters