Tech Stocks Surge on Strong Earnings, Rate Hike Bets Weaken

Wall Street's main indexes rose on Wednesday as upbeat earnings from AI infrastructure firms lifted technology stocks.

The Nasdaq outperformed its peers, with Nvidia gaining 2%, Micron Technology adding 4.4%, and Broadcom up 1.4%.

Data showed U.S. consumer prices increased slightly in July, weakening the argument for a Federal Reserve interest rate hike next month.

According to CME's FedWatch Tool, traders now price in a 55% chance of the Fed holding rates steady at its September meeting, compared to being split between a hike and no change before the data was released.