Software Surges Back: AI Fears Ease as Earnings Spark a Potential October Rally

A wave of strong software earnings is easing months of AI-induced fears that the sector would shrink via fewer subscriptions. Salesforce’s solid results helped the IGV ETF turn positive year-to-date, buoying hopes for a longer rally as Workday, CrowdStrike, and ServiceNow also posted momentum from AI offerings and data advantages. Analysts say the rally could extend into October, driven more by investor positioning and stock-specific fundamentals than a universal industry-wide shift.