The S&P 500 rose 0.3% to 6,532 points on 9/10, its second consecutive record close. The Nasdaq Composite also edged up 0.03% to 21,886 points, marking its third straight record high. Conversely, the Dow Jones Industrial Average fell 0.48% to 45,490 points.

US stocks were bolstered by a 36% surge in software company Oracle's shares, its biggest gain since 1992. This surge was fueled by Oracle's announcement of soaring demand for its cloud services from AI companies. Oracle's market capitalization subsequently rose to USD 992 billion, approaching Tesla's USD 1.12 trillion.

Traders on the floor of the New York Stock Exchange. Photo: Reuters

Traders on the floor of the New York Stock Exchange. Photo: Reuters

Shares of AI chipmakers also saw significant gains. Nvidia rose 3.8%, Broadcom increased 10%, and AMD climbed 2.4%. Shares of data center power suppliers, such as Constellation Energy and GE Vernova, both rose more than 6%.

The market's upward trend was also supported by data showing that US inflation cooled more than anticipated, further solidifying the likelihood of the Federal Reserve (Fed) cutting interest rates next week. The Producer Price Index (PPI) fell 0.1% in August. Additional US consumer price data is expected today.

Investors currently anticipate a 25 basis point (0.25%) interest rate cut by the Fed in its upcoming meeting. The probability of a 50 basis point cut stands at 10%.

The S&P 500 has gained 11% since the beginning of the year, while the Nasdaq has risen 13%. "The fundamental factors in the stock market remain strong. However, company valuations are becoming quite high. This will somewhat impede the upward trajectory," said Bill Northey, Chief Investment Officer at U.S. Bank Wealth Management.

Meanwhile, both Barclays and Deutsche Bank have raised their year-end forecasts for the S&P 500. This is attributed to robust corporate earnings, continued strong US economic growth, and sustained enthusiasm for artificial intelligence.

Ha Thu (Reuters)