The Nasdaq Composite climbed to a fresh record on Monday, leading Wall Street higher at the start of a week packed with critical economic data.
The tech-heavy index rose 0.5%, notching an all-time intraday high. The S&P 500 gained 0.2%, while the Dow Jones Industrial Average hovered around the flatline.
Tech leads the rally
The upside was fueled by gains in technology stocks. Broadcom jumped 3%, while Nvidia rose nearly 2%, trimming losses from the past month. Other tech heavyweights, including Meta Platforms, Amazon, and Microsoft, also traded higher.
“There just continues to be great momentum for AI spend and infrastructure buildout, and that’s not just concentrated in the Magnificent Seven — the average tech stock is doing really well,” said Ross Mayfield, investment strategist at Baird Private Wealth Management, in comments to CNBC.
Investors eye inflation reports
Market attention now shifts to two key inflation reports this week: the Producer Price Index (PPI) due Wednesday and the Consumer Price Index (CPI) on Thursday. Both are expected to offer crucial insight into the health of the U.S. economy.
The releases follow Friday’s weaker-than-expected August jobs report, which strengthened investor expectations that the Federal Reserve will cut interest rates at its upcoming policy meeting. Traders are even pricing in the possibility of a half-point cut, according to the CME FedWatch tool.
Still, with markets at record highs during a seasonally weak period, strategists caution there may be “downside drift” ahead of CPI unless unexpected geopolitical or trade developments intervene.
