QQQ Reaches New Record High Amid AI Boom, Easing Trade Fears

The Invesco QQQ Trust (QQQ) notched a new all-time closing high on Tuesday, capping off a remarkable rebound from its April lows.

The $335.4 billion fund closed at $539.74—above its previous all-time closing high of $539.52 set on February 19. It still hasn’t surpassed its intraday record of $540.81 from the same day, but the comeback is notable for a fund that was deep in the red just a couple of months ago.

Between its February peak and its April 8 trough, QQQ lost nearly 23% of its value. At its lowest point, it was down 18.6% year to date. Today, it’s up 5.6% for the year.

QQQ Follows Sentiment Shift

The turnaround coincides with a shift in market sentiment. Fears of an economic slowdown driven by President Donald Trump’s aggressive tariff regime spurred the selloff in March and early April. But more recently, Trump has moderated his trade rhetoric and scaled back some of the harsher tariffs, helping to stabilize investor confidence.

At the same time, renewed excitement around artificial intelligence has driven major gains in tech stocks—the dominant sector in the Nasdaq-100, which QQQ tracks.

Microsoft Corp. (MSFT), a leading cloud and AI player with deep ties to OpenAI, notched fresh all-time highs on Tuesday. Nvidia Corp. (NVDA) and Broadcom Inc. (AVGO), both at the center of the AI chip race, also traded near records.

Thanks to its tech-heavy portfolio, QQQ has outperformed the broader market. The S&P 500, which is still slightly below its February highs, is up 3.6% on the year—about 200 basis points behind QQQ.

Momentum remains strong and, with tech leading the way, it may be only a matter of time before the S&P 500 joins the Nasdaq in record territory.