The S&P 500 climbed to another record high on Wednesday as investors piled back into semiconductor and artificial intelligence-linked stocks, brushing aside another hotter-than-expected inflation reading.
The benchmark index rose 0.58% to close at 7,444.25, while the May 14 Polymarket contract implied a 77% probability of the S&P 500 opening higher on Thursday.
Why That Number Matters
Markets continued to digest April’s producer price index report, which showed wholesale inflation rising 1.4% on the month — the largest monthly increase since March 2022 and well above economist expectations for a 0.5% gain.
The inflation data added to concerns that elevated energy prices linked to the Iran war could keep price pressures higher for longer.
At the same time, investors are watching developments from President Donald Trump‘s visit to China, where tech titans, including Tesla (NASDAQ:TSLA) CEO Elon Musk and Nvidia