NEW YORK, KOMPAS.com - The S&P 500 index rose to a new all-time\nhigh at the close of trading on the New York Stock Exchange, or Wall\nStreet, on Wednesday (13\/5\/2026) local time, as investor enthusiasm for\ntechnology stocks overshadowed the impact of inflation reports that came\nin higher than expected.<\/p>\n
The broader market index, the S&P 500, climbed 0.58 per cent to\n7,444.25, while the tech-heavy Nasdaq surged 1.2 per cent to 26,402.34.\nBoth indices set new intraday and closing records.<\/p>\n
Meanwhile, the Dow Jones Industrial Average fell 67.36 points, or\n0.14 per cent, to 49,693.20.<\/p>\n
Technology stocks outperformed other sectors in the market, as\ninflation concerns triggered by rising energy prices due to the Iran war\nburdened other areas such as retail and banking.<\/p>\n
In contrast, around two-thirds of the stocks in the S&P 500\nactually weakened during the trading session, according to FactSet data.\nDeclining stocks included home improvement retailer Home Depot and\neconomically cyclical stocks like JPMorgan.<\/p>\n
\"Chip stock trading is currently moving with its own momentum.\nInvestors seem to view demand and growth in this sector as highly\nstructural, so more cyclical macroeconomic factors do not significantly\nalter its prospects,\" said Baird investment strategy analyst Ross\nMayfield to CNBC.<\/p>\n
\"Amid various global situations, particularly the oil price shock,\ninvestors feel safer sheltering in those stocks because the AI boom will\ncome regardless of what happens.\"<\/p>\n
The movement in technology stocks on Wednesday followed Nvidia CEO\nJensen Huang accompanying US President Donald Trump on his visit to\nChina to meet President Xi Jinping.<\/p>\n
According to Mayfield, the move sent a positive signal to investors\nregarding the possibility of Nvidia resuming sales of its AI chips in\nthe Chinese market, though he admitted his expectations for the outcome\nof the meeting were still \"quite limited.\"<\/p>\n
Semiconductor stocks have indeed continued to soar recently, leading\nthe overall market\u2019s push to new record levels amid renewed enthusiasm\nfor AI-based trading.<\/p>\n
However, even though chip stocks and companies involved in AI\ninfrastructure development currently appear to be \"moving on their own,\"\nMayfield is not convinced the momentum will last long.<\/p>\n
\"At some point, investors may start to see that macroeconomic\nconditions are truly turning against them. At that time, they might\nthink, \u2018It\u2019s time to take some profits, because the hope that the war\nwill end quickly clearly isn\u2019t materialising,\u2019\" he said.<\/p>\n
For context, the S&P 500 and Nasdaq had fallen from their record\nhighs on Tuesday following the release of US consumer inflation data\nthat was hotter than expected.<\/p>\n
On Wednesday, the producer price index (PPI) jumped 1.4 per cent in\nApril. This was the largest monthly increase since March 2022 and far\nexceeded economists\u2019 expectations surveyed by Dow Jones at 0.5 per\ncent.<\/p>\n
Additionally, wholesale inflation rose 6 per cent year-on-year, the\nlargest increase since December 2022. The figure also surpassed the\nmarket consensus of 4.9 per cent.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/tech-stocks-prop-up-wall-street-as-s-p-500-and-nasdaq-hit-record-highs-1778730821", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }