New Record for the S&P 500 Index on Wall Street

On Wall Street, the S&P 500 index jumped to a new record level on Tuesday, thanks to rising stock prices in the technology sector, while new data showed that inflation in the U.S. has slightly strengthened.

The Dow Jones increased by 0.61 percent, to 39,005 points, while the S&P 500 jumped 1.12 percent, to 5,175 points, and the Nasdaq index rose 1.54 percent, to 16,265 points.

The star of the day was Oracle’s stock, which surged nearly 12 percent to record levels after the tech giant reported better-than-expected quarterly business results.

After two days of decline, stock prices of chip manufacturers also rose sharply yesterday, especially Nvidia, by more than 7 percent.

As a result, investors were not discouraged by the slight increase in inflation in the U.S.

It was reported yesterday that consumer prices rose 0.4 percent month-on-month and 3.2 percent year-on-year in February.

Despite stagnation, and even a slight increase in inflation over the past two months, the prevailing sentiment in the market is that the U.S. central bank could start lowering interest rates in June.

– The prevailing sentiment in the market is that it is not so important when the Fed will start lowering rates, but by how much they will lower them. Whether that will be in May, which investors hoped for, or in September, is not so important. What matters is that rates will soon be lowered – says Oliver Pursche, vice president at Wealthspire Advisors.

He also emphasizes that the economy is growing steadily and that, by all indications, it will avoid recession.

– I prefer that the economy is strong, even with elevated interest rates, than weak and needing stimulus – says Pursche.

European stock markets also saw rising stock prices yesterday. The London FTSE index strengthened by 1.02 percent, to 7,747 points, while the Frankfurt DAX rose 1.23 percent, to 17,965 points, and the Paris CAC increased by 0.84 percent, to 8,087 points.