GoKawiilCNBC's Jim Cramer said the market continues to be driven overwhelmingly by enthusiasm around semiconductors and data center stocks, and next week will test whether investors keep rewarding nearly any positive AI-related development.
"This market keeps going up and up on the same old stuff: news about semiconductors, even old news about semiconductors, retreaded news about semiconductors, even pure conjecture," the "Mad Money" host said Friday. "Anything remotely positive moves the group higher."
The Nasdaq Composite and S&P 500 both hit new intraday highs and closed at records on Friday, powered by AI-related names. Technology was the S&P 500's top-performing sector for the week, up a blistering 7%. The overall index rose 2.3%.
Cramer cautioned investors against making their entire portfolio tied to the data center complex. But, at the same time, he said he has grown more convinced the group represents a long-term shift.
"We are coming around to the idea that these stocks are foundational and must be owned," he said. "Ideally, I'd tell you to buy them on down days, and there are down days occasionally, but if you don't have the patience to wait, it's better to pay up than to not own them at all."
Cramer later added, "This is still a gigantic opportunity. It's not too late to buy."
Here's what Cramer is watching in the week ahead.