S&P 500, Nasdaq drift to fresh records, extend rally
The S&P 500 and Nasdaq indexes hit new closing highs for the second straight day. Photo: Reuters
Wall Street stocks pushed higher on Wednesday, lifting the S&P 500 and Nasdaq to fresh records as markets extended a rally following data showing US inflation remains stable.
Stocks are in "full easing expectations mode," said CFRA Research's Sam Stovall, who expects two Federal Reserve interest rate cuts later this year.
The Dow Jones Industrial Average led major indices, winning 1.0 percent to 44,922. The broad-based S&P 500 climbed 0.3 percent to 6,466, while the tech-rich Nasdaq Composite Index added 0.1 percent at 20,713.
Stocks spent most of the day in positive territory, drifting higher after Tuesday's consumer price index report showed inflation held in July at 2.7 percent year-over-year.
The report reassured markets that President Donald Trump's aggressive campaign of tariffs has not significantly boosted consumer prices.
Stovall expects Thursday's wholesale inflation data to show increases, but "we think investors will overlook" the shift, he said in a note.
Among individual companies, artificial intelligence infrastructure company CoreWeave slumped more than 20 percent despite reporting a more than tripling of quarterly revenue to US$1.2 billion and projecting higher than expected revenue growth.
Briefing.com cited high interest costs due to CoreWeave's hefty debt load and said the company faces likely profitability pressures as it undertakes "aggressive capacity expansion to meet surging AI-driven demand."
Brinker International rose 1.6 percent as it reported profit and revenue growth behind higher sales at its Chili's restaurant chain. (AFP)
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