Tech stocks today: Software stocks gain as Snowflake earnings allay AI fears, Anthropic upgrades its flagship model

May 28, 2026 - 18:54

Technology stocks moved higher on Monday as the holiday-shortened trading week began, with software shares leading the charge. The positive momentum came after Snowflake reported earnings that helped ease growing concerns about the profitability and demand for artificial intelligence investments. Investors had been on edge following Nvidia's recent earnings report, which sparked debate about whether the AI boom was showing signs of slowing. Snowflake's strong quarterly performance, however, suggested that enterprise spending on data and AI tools remains robust, providing a lift to the broader software sector.

Adding to the upbeat tone, Anthropic announced an upgrade to its flagship AI model. The update is seen as a sign that competition in the large language model space continues to intensify, with companies racing to deliver more capable and efficient systems. The news helped reinforce confidence that AI-related spending will remain a key driver for tech earnings in the coming quarters.

Market participants also kept a close eye on the latest mega initial public offerings, which have drawn significant attention as a barometer for investor appetite. The combination of solid earnings from key software players and fresh product announcements from AI developers helped offset lingering uncertainty about interest rates and the broader economic outlook. As the week progresses, traders will be watching for further data on consumer spending and inflation to gauge the path ahead for tech stocks.