By Kayode Omotosho
Publication Date: 2026-06-02 08:07:00
What happened?
Several stocks rose in the afternoon session after software stocks extended their rally, riding momentum from one of the steepest sector reversals of 2026.
The iShares Expanded Tech-Software ETF closed May up 21%, its best monthly performance since October 2001, after Snowflake’s first-quarter results and Dell’s first-quarter print on two consecutive nights combined to break the “SaaSpocalypse” narrative that had driven enterprise software stocks 20% to 40% off their highs. Snowflake revenue grew 34% to $1.39 billion, AI accounts grew from 9,100 to 13,600 in a single quarter, and Dell confirmed $16.1 billion in AI server revenue (up 757%) against a committed backlog of $51.3 billion. The combined message was that AI is accelerating demand for enterprise software, not displacing it.
Nvidia CEO Jensen Huang’s Computex keynote address in Taipei framed agent AI (autonomous systems that execute tasks on enterprise infrastructure) as the platform that defines advancement,…