Dell surge fuels AI infrastructure rally; oil falls on Iran talks

Dell’s record quarter drove gains in AI infrastructure stocks while oil prices slipped after former President Donald Trump outlined proposed terms for a U.S.-Iran deal that could reopen the Strait of Hormuz.

Dell reported Q1 revenue of $43.8 billion, an 88% year-over-year increase, and earnings per share of $4.86, a 214% jump. On the earnings call, CEO Jeff Clarke told investors, “In Q1, we booked $24.4 billion in AI orders and recognized $16.1 billion of AI server revenue.” The company’s shares rose about 28.5% on the report.

U.S. indexes moved higher as technology led gains. The S&P 500 climbed 0.37% to 7,591.78, the Dow rose 0.76% to 51,054.7 and the Nasdaq added 0.39% to 27,022.2. Market breadth was mixed, with advancing issues around 46.4% and decliners at about 50.0% of listed stocks.

Several hardware and software names linked to AI infrastructure posted notable gains. Hewlett Packard Enterprise advanced more than 14%, Super Micro Computer rose about 10%, Oracle jumped nearly 9%, Microsoft gained roughly 4% and Micron added about 4.5%. NetApp reported record fiscal fourth-quarter revenue of $1.95 billion and saw its shares move higher. Select software and analytics companies also rallied, with Palantir up roughly 9% and CrowdStrike up about 8%. Consumer and defensive names lagged: Gap fell about 16.6% after weak sales and a lowered outlook, and retailers including Walmart and Costco declined.

Oil retreated after Trump outlined proposed terms that would include Iran agreeing not to develop a nuclear weapon, the immediate reopening of the Strait of Hormuz to unrestricted shipping, and removal or detonation of water mines. U.S. crude moved toward the mid‑$80s per barrel and the energy sector declined about 0.9% on the session. Major producers, including Exxon Mobil, traded lower, with Exxon down about 1%.

Neil Chapman, ExxonMobil senior vice president, warned global oil inventories could fall to rarely seen lows in the coming weeks and said Brent crude might spike toward $150–$160 per barrel if physical supply tightens sharply. Market participants have noted that strategic reserve releases and disruptions tied to the Strait of Hormuz have reduced commercial stockpiles.

Investors said they are monitoring whether political discussions translate into a durable reopening of shipping through the Strait and how quickly physical-market tightness might change. Traders noted Dell opened with a large intraday gap higher and will be watching the active June earnings calendar for further sector rotation and company-specific moves.