S&P 500 and Nasdaq Hit New Records on Tech Rally

CNBC reported Wednesday that both the S&P 500 and the Nasdaq Composite closed at fresh all-time highs. A surge in semiconductor and technology shares drove both benchmarks to new intraday and closing records during the regular session.

Tech Stocks Carry the S&P 500 Record High

The S&P 500 gained 0.58% on the day. The Nasdaq Composite advanced 1.2%, outperforming sharply. The Dow Jones Industrial Average moved in the opposite direction, slipping roughly 67 points, or about 0.14%.

Chip giants Nvidia and Micron Technology were among the standout performers. Their gains came alongside news that Nvidia CEO Jensen Huang joined President Donald Trump on a high-profile diplomatic visit to Beijing. Trump met with Chinese President Xi Jinping during the trip, accompanied by several senior U.S. business executives.

S&P 500 futures and Nasdaq 100 futures climbed an additional 0.12% and 0.34%, respectively, in early Thursday trading. Dow futures added roughly 115 points.

Cisco Surges After Earnings Beat

After the closing bell, shares of Cisco Systems jumped roughly 19% in extended trading. The networking company delivered third-quarter results and forward guidance that topped analyst expectations. Cisco also announced plans to cut close to 4,000 positions as part of its restructuring effort.

Shares of health-tech platform Doximity fell sharply in contrast, sliding around 18% after the company reported a quarterly earnings miss. Revenue guidance for the current quarter and full fiscal year also fell below what analysts had forecast.

Inflation Data Adds Pressure in the Background

Investors absorbed another elevated inflation reading on Wednesday. April’s producer price index rose 1.4% on a monthly basis, the steepest monthly increase since March 2022. That reading came in well above consensus forecasts and stoked concerns about persistent cost pressures.

Higher energy prices weighed on several non-tech sectors. Technology stocks, however, proved resilient enough to carry broader index gains.

Investor Peter Mallouk, CEO of Creative Planning, told CNBC’s Power Lunch that chipmakers may have further room to run. He argued the current bull market is earnings-driven rather than speculative. He described semiconductor demand as a structural mega-trend still outpacing available supply.

What Markets Are Watching Thursday

Traders are focused on several data releases Thursday morning. April retail sales figures, export and import price indexes, and initial jobless claims for the week ending May 9 are all due. Earnings from Honda Motor, Klarna, and Yeti are also on deck before the opening bell. New York Fed President John Williams is set to moderate a discussion Thursday afternoon.

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