Can the Market Move Higher in May? 5/1/26

In this episode of CNBC's Halftime Report, host Scott Wapner and the Investment Committee debate whether the market can continue its upward momentum into May, following a record-breaking April driven by robust earnings growth, particularly in the tech sector. The discussion centers on the powerful tailwinds from artificial intelligence, with $700 billion in projected CapEx from hyperscalers like Amazon, Microsoft, and Alphabet fueling demand for chips and infrastructure. Despite concerns about stretched valuations and narrowing market breadth, the team argues that earnings growth—especially in tech, where Q1 growth hit 28.8%—justifies continued optimism. Apple emerges as a standout, praised for its strong services growth, massive cash generation, and strategic patience in AI, despite not matching peers' spending. The panel also highlights the shift in energy giants like Exxon and Chevron toward shareholder-friendly capital allocation over aggressive drilling. As the Berkshire Hathaway annual meeting approaches without Warren Buffett, the focus turns to Greg Abel’s leadership transition and the company’s evolving strategy. The episode closes with bullish calls on stocks like eBay, Caterpillar, and SoFi, reinforcing a theme of selective optimism amid market exuberance.