S&P 500 Surges Past Record High on Tech Gains and Fed Expectations

The S&P 500 index closed at a record high on Thursday, driven by gains in tech stocks such as Sandisk and Micron Technology. The Federal Reserve's decision to keep interest rates unchanged is supported by tame producer price inflation data, which suggests that the Fed will not raise interest rates at its September meeting.

Shares of Sandisk surged 13.7% while Micron Technology rose 4.2%, with Microsoft adding almost 1% and Meta Platforms gaining 2.8%. CoreWeave, an AI cloud company, dipped 1.3% after surging 19% the previous day.

Jay Hatfield, CEO of Infrastructure Capital Advisors, said 'The AI earnings-driven tech boom continues... It's an earnings boom, not a bubble.' The S&P 500 climbed 0.65% to end at 7,798.99 points, with seven out of 11 sector indexes rising.