2024 is off to a red-hot start. The S 500 has soared to record levels as mega-cap tech stocks, in particular, continue to fuel the artificial intelligence (AI) narrative.

The benchmark had last bottomed around October 2022. Much of the market rebound since, especially in 2023, was influenced by enthusiasm in AI, and this positive sentiment has so far poured over into this year.

In particular, the "Magnificent Seven" stocks, Microsoft, , Apple, Amazon, Tesla, Meta Platforms, and Nvidia (NASDAQ: NVDA), have played a major role in pushing the market higher. Of this exclusive club, Nvidia may be the most important. Demand for the company's graphics processing units (GPUs) is off the charts, as generative AI has become the forefront of IT budgets.

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Source Fool.com