THE Nasdaq finished at a new record on Tuesday as US stocks rallied, shrugging off data that showed April wholesale inflation that topped expectations.
The tech-focused index closed at 16,511.18, up 0.8 per cent.
The Dow Jones Industrial Average rose 0.3 per cent to 39,558.11, while the broad-based S&P 500 gained 0.5 per cent to 5,246.68.
US wholesale prices jumped by 0.5 per cent in April, much above estimates in a dynamic that could keep Federal Reserve interest rates higher for longer.
However, analysts noted that the gain was offset by a revision to the March report, which showed wholesale inflation cooling in that period.
“The numbers were more or less in line,” said Steve Sosnick of Interactive Brokers, who pointed to Wednesday’s consumer price report as a key test for stocks.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Fed Chair Jerome Powell described the first quarter as “notable for its lack of further progress on inflation,” adding that “we’ll need to be patient and let restrictive policy do its work.”
Among individual companies, Google parent Alphabet rose 0.6 per cent as the tech giant highlighted its artificial intelligence offerings at a developer conference.
Home Depot dipped 0.1 per cent after reporting a decline in first-quarter revenues as it pointed to “continued softness” in some consumer segments. The home-improvement retailer confirmed its full-year forecast.
GameStop jumped 60.1 per cent and AMC Entertainment 32 per cent in a revival of the so-called “meme stock” craze from 2021. AFP
