Tech Giants Lead Markets to New Heights Amid AI Optimism

The S&P 500 and Nasdaq soared to unprecedented levels on Thursday following Microsoft's impressive earnings report, which catapulted the tech giant's market valuation beyond the $4 trillion mark. This achievement bolstered investor confidence in Big Tech's significant investments in artificial intelligence.

Nvidia joined Microsoft as the second publicly traded company to surpass a $4 trillion valuation. Meanwhile, Meta Platforms saw a significant 12.1% rise, marking a new high, due to AI advancements enhancing its core advertising revenue projections. Both the S&P technology index and communication services index experienced record highs, with increases of 1.2% and over 3%, respectively.

Amidst these developments, U.S. inflation saw a rise in June, prompting expectations of intensified price pressures for the latter half of the year. As Wall Street braces for monthly gains, the Federal Reserve's decision to maintain current interest rates continues to fuel market speculation.

(With inputs from agencies.)