S&P 500 Rises 8.7% as AI Rotation Crushes Software Stocks

On June 30, 2026, fresh analysis shows the S&P 500 posted an 8.7% gain in the first half despite an AI-driven rotation that hammered software and online-services names. Capital shifted toward semiconductors, data centers, energy and industrials, leaving Intuit down 60% even as sales rose 10% and EPS estimates climbed. The broader market remained constructive with 62% of stocks higher and the forward P/E compressing to 20.3 from 22.5, signaling selectivity rather than broad weakness.