The S&P 500 climbed to an intraday record high on Thursday, briefly clearing the 7,800 level for the first time ever before pulling back slightly in afternoon trading. The benchmark index reached 7,816.70 before settling around 7,784, fueled by a broad semiconductor rally and a cooler-than-expected producer price inflation report.
SanDisk led the charge, surging 15 percent after posting strong quarterly results, while Micron Technology jumped 5.6 percent. The Philadelphia Semiconductor Index gained 1.8 percent to hit a nearly one-month high, signaling renewed investor confidence in the AI infrastructure trade. Microsoft, Nvidia, and Apple also contributed modest gains.
“We are starting to see broad-based earnings really pick up across sectors,” said Josh Chastant, managing director of public markets at GuideStone. “That direction of travel will be good for the overall broad AI trade.”
The tech-heavy Nasdaq Composite rose 0.58 percent to 26,741.66, while the Dow Jones Industrial Average dipped 96 points to 53,674 as a 9 percent drop in Cisco Systems weighed on the blue-chip index despite the networking giant forecasting above-consensus fiscal 2027 revenue.
The rally was underpinned by a flat July producer price index reading, which came in below the 0.2 percent monthly gain economists had expected. The benign inflation data reinforced expectations that the Federal Reserve will hold interest rates steady at its September meeting, with futures markets pricing in a 65 percent probability of a pause, up from 60 percent before the release.
Crude oil prices retreated 3 percent after six consecutive sessions of gains, easing concerns about energy-driven inflation. The decline came as investors assessed prospects for weaker global demand and higher U.S. crude stockpiles, even as Iran and the United States remained at loggerheads over a permanent end to the Middle East conflict.
Advancing stocks outnumbered decliners by a 1.78-to-1 ratio on the New York Stock Exchange, while the S&P 500 logged 28 new 52-week highs and just one new low. The Nasdaq recorded 129 new highs against 68 new lows.
The record comes after a rocky start to the second half of 2026, with robust earnings across technology, healthcare, and consumer sectors providing fresh tailwinds. Netflix gained 3.3 percent after billionaire investor Bill Ackman unveiled a new position in the streaming giant as part of Pershing Square’s largest portfolio overhaul in years.
Sources: Detroit News | TheStreet | Bloomberg
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