Now Reading: S&P 500 closes at record high as rate hike fears fade
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S&P 500 closes at record high as rate hike fears fade
The S&P 500 hit a record close on Thursday, rising 51.23 points (0.66%) to 7,799.73, driven by gains in Sandisk, Micron Technology, Broadcom, and Meta Platforms. Tame producer price inflation data kept…
The Story in Brief
The S&P 500 hit a record close on Thursday, rising 51.23 points (0.66%) to 7,799.73, driven by gains in Sandisk, Micron Technology, Broadcom, and Meta Platforms. Tame producer price inflation data kept hopes high that the Fed will not raise rates at its September meeting.
Markets now price a 63% chance of unchanged rates next month, according to CME's FedWatch tool. Tech stocks continue to benefit from strong AI-related earnings forecasts from Microsoft and Amazon. However, Cisco Systems fell after its revenue forecast failed to meet lofty expectations.
The Indian Opinion
The 'AI earnings boom, not bubble' narrative is convenient for US tech bulls, but Indian retail investors tracking the Nasdaq through mutual funds should watch the Fed's next move closely. Tame producer prices and stable jobs data support a September pause, yet oil at $87 and a choked Strait of Hormuz remind us that global supply shocks are a wild card. The real test for markets will come when Fed minutes reveal whether inflation or geopolitical risk tips the scales next month.
Source: economictimes.indiatimes.com
This story was synthesised by AI from the source linked above.
