Closed more than 5,500 units for the first time in its history S&P 500 at today’s meeting, too your president Federal Reserve, Jerome Powell acknowledged the progress of inflationalthough he reiterated that the central bank is not yet ready to cut interest rates.
The S&P 500 rose 0.62% to 5,509.01, its first close above the 5,500 mark. The Nasdaq strengthened by 0.84% to 18,028.76 units. Both indexes closed at record highs, thanks to Tesla’s 10% gain. For the S&P 500, this is the 32nd record high this year.
O Dow Jones Index rose 162.33 points or 0.41% to close at 39,331.85 points. The Nasdaq 100 hit the 20,000 mark, also an all-time high.
“We have made considerable progress in bringing inflation back close to our target. We want to be more confident that inflation is moving meaningfully toward our 2% target before we begin the process of easing monetary policy,” Powell said.
U.S. Treasury yields fell slightly after Powell’s comments, with major stock indexes rebounding from early session lows.
Tesla shares supported the S&P 500 as Elon Musk’s automaker reported better-than-expected second-quarter sales. The stock, which had a tough first quarter, rose about 9%.
Nvidia shares fell 1.3% as investors questioned whether the artificial intelligence company could continue its momentum through the end of the year. Its shares are up 147% through 2024. Drugmaker Eli Lilly, another first-half winner, saw its shares fall 0.8% on Monday.
Trading volume, however, was thin ahead of Thursday’s Independence Day holiday, when Wall Street will remain closed.