Stock market today: Nasdaq, Dow, S&P 500 rise as Alibaba spreads AI cheer

Group 1: Market Overview - US stocks experienced a rise, with the Nasdaq Composite and Dow Jones Industrial Average increasing nearly 0.3%, and the S&P 500 nudging around 0.2% higher, driven by optimism from Alibaba's spending plans [1] - The tech sector is showing signs of recovery after a previous decline, particularly among the "Magnificent Seven" megacap stocks [1] Group 2: Alibaba's AI Investment - Alibaba's stock surged over 8% as the company announced plans to increase its AI spending beyond the initial $50 billion target, in response to a global AI investment surge reaching $4 trillion [2] - The CEO of Alibaba emphasized the necessity of this boost to remain competitive in the rapidly evolving AI landscape [2] Group 3: Micron's Performance - Micron reported stronger-than-expected quarterly earnings, providing a positive signal for the AI sector, although its shares fell on the same day [2] Group 4: Interest Rate Outlook - The market is currently focused on the potential for US interest rate cuts, with recent comments from Federal Reserve officials indicating a divergence in opinions regarding future policy directions [3] - Fed Chair Jerome Powell highlighted a cautious approach to further rate cuts while acknowledging that stocks are "fairly highly valued" [4] Group 5: Upcoming Economic Indicators - The market is anticipating the release of the Personal Consumption Expenditures index, which is the Fed's preferred inflation gauge, as well as updates on weekly mortgage applications and August home sales, to gain insights into the housing market and broader US economy [4][5]