S&P 500 Hits Record High as Rate Hike Bets Ease

The S&P 500 hit a record high after softer-than-expected inflation prints reduced US rate hike bets. The Euro Stoxx 50 edged higher, while European markets traded mixed. In contrast, Asian-Pacific markets diverged overnight.

The Nikkei 225 rose 0.51% in Japan, supported by yen dynamics and domestic data flows. However, the Hang Seng Index fell 0.93% in Hong Kong due to caution ahead of China's monetary data release. The ASX 200 declined 0.92%, weighed down by materials and energy names.

In the US, technology stocks drove renewed strength, fueled by rising hyperscaler spending plans. This pushed the Nasdaq up 0.81% and the S&P 500 to a record high, gaining 0.65%. The Dow Jones locked in marginal gains of 0.13%.