US stocks are on track for their strongest week in months, with the S&P 500 gaining 2.9%, the Dow 2.7%, and the Nasdaq outperforming with a 3.8% rise. The rally is driven by a rebound in AI stocks, strong corporate earnings, and optimism surrounding a potential deal for the Strait of Hormuz. Previously beaten-down tech names also saw significant surges, with Coherent jumping 27% and Lumentum gaining 17%.