US Stocks Soar to New Highs Amid Corporate Profit Boom
The US stock market hit record highs on Tuesday as corporate profits continued to soar and oil prices eased. The S&P 500 rose 1.8%, with the Dow Jones Industrial Average increasing by 907 points, or 1.7%. The Nasdaq composite jumped 2.6%.
Despite concerns about high inflation and a potential bubble in artificial-intelligence technology, investors remained patient as profits kept piling up for companies. Palantir Technologies led the way, surging 29.5%, after CEO Alex Karp announced a 93% increase in revenue, calling it an 'otherworldly' quarter.
Caterpillar also reported stronger profit and revenue than expected, climbing 5.6%. The heavy-equipment maker saw its first quarter with over $20 billion in sales and revenue, thanks to strong order rates and a growing backlog across its main businesses.