Record Highs as Oracle Leads Cloud Surge: A Market Overview

The S&P 500 and Nasdaq soared to record-high closes on Wednesday, powered by substantial gains in Oracle shares and positive inflation data, indicating a potential interest rate cut by the Federal Reserve. Oracle skyrocketed 36%, driven by strong demand for its cloud services from AI firms, setting its market value at $922 billion.

The company's leap placed it above market giants like Eli Lilly and JPMorgan Chase, drawing comparisons to Tesla. Concurrently, AI-related chip stocks experienced a boost with Nvidia up 3.8%, Broadcom climbing 10%, and Advanced Micro Devices increasing by 2.4%. The PHLX chip index hit a record high, advancing 2.3%.

Data center power providers like Constellation Energy, Vistra, and GE Vernova also saw significant gains over 6%. Despite favorable market trends, Apple shares fell 3.2%, marking a fourth consecutive decline, as traders anticipated interest rate cuts confirmed by labor market slowdowns.

(With inputs from agencies.)