00:00The S&P 500 and the Nasdaq gained ground on Wednesday with a boost from artificial intelligence-related tech shares
00:06which helped markets look past hotter than expected inflation data
00:09and the growing probability that the Federal Reserve will hold to its restrictive monetary policy for the foreseeable future.
00:16The S&P 500 and the Nasdaq Reserve earlier declines to notch fresh record closing highs
00:22as cheap stocks rebounded from Tuesday's decline.
00:27Six of the many season seven group of AI-related mega-caps posted solid gains.
00:33We have a pretty constructive outlook for the market for the rest of the year here.
00:38I think one of the things that gives us confidence is even though technology stocks are doing well today,
00:42we've seen good performance out of materials and industrial sectors
00:46and also really broadly across other areas of the market like smaller companies and foreign stocks like emerging markets.
00:52So that broader kind of uptrend really gives us some added confidence that this isn't just a narrow sector that's
00:58carrying markets.
00:59A report from the Labor Department showed producer prices jumped by 1.4% last month, the largest monthly increase
01:07in four years.
01:08While the surge was largely driven by crude supply disruption due to the closure of the Strait of Hummus,
01:15the report showed soaring oil prices are beginning to seep into other segments of the economy
01:21and suggested that rising inflation is becoming pervasive.
01:25Recent inflation data is dousing any remaining hopes for a near-term rate cut from the Federal Reserve.
01:33In fact, Boston Fed President Susan Collins said on Wednesday that a rate hike could be in the cuts
01:39if inflation pressures fail to subside.
01:42The S&P 500 gained 43.29 points or 0.58% to end at 7,444.25 points
01:53while the Nasdaq Composite gained 314.14 points or 1.20% to 26,402.34.
02:04The Dow Jones Industrial Average fell 67.36 points or 0.14% to 49,693.2.
Comments