S&P 500 Hits New Record High as Inflation Data Boosts Market Sentiment

U.S. stocks continued to show strength on Friday as the S&P 500 notched a new record high and the Dow opened higher following the latest inflation data. The S&P 500 rose 0.3% at the open, surpassing its previous all-time high, with the benchmark index hitting 6,156.80. Previously, on February 19, 2025, the S&P 500 touched an intraday high of 6,147.43. Meanwhile, the Dow Jones Industrial Average traded 300 points higher at open, while the Nasdaq Composite opened 0.5% up, looking to end the week on a positive note.

This stock market rally comes amid investor focus on the release of new data showing core inflation rose slightly in May. The personal consumption expenditures price index, which is the Federal Reserve’s primary inflation gauge, increased to a seasonally adjusted 0.1% for May. This puts the annual U.S. inflation rate at 2.3%. The core PCE inflation reading, which excludes food and energy, stood at 0.2% for the month and 2.7% year-over-year, slightly above economists’ estimates of 0.1% and 2.6%, respectively.

Despite this, stocks remain strong and are looking to extend their positive run. A thawing of tensions in the Middle East and recent announcements around tariffs have helped ease some market fears. In addition to the S&P 500, Bitcoin (BTC) is also eyeing a move to a new all-time high. The top cryptocurrency is hovering around $107,000 after a notable recovery this week. Investors will be watching for the Federal Reserve’s next move, with growing optimism that the central bank may decide to lower interest rates at its July meeting. Also worth noting is the White House's statement that President Donald Trump’s July deadlines for tariff implementation in several countries are “not critical.”

The Dow Jones Industrial Average surged by 300 points, while the S&P 500 index reached a new record high. This significant rally was driven by optimism surrounding a potential trade deal, which boosted investor sentiment and propelled the market to new heights. The S&P 500 index, a broad market indicator, gained 0.2 percent at the opening bell, marking a fresh record high. The Nasdaq Composite, another key index, also advanced, trading above 20,200 points. The Dow Jones Industrial Average climbed 404.41 points, or 0.94 percent, to 43,386.84, reaching its session highs after positive statements from the White House. The S&P 500 index rose 0.3 percent to 6,156.80, surpassing its previous all-time high set earlier in the year. The Nasdaq Composite also advanced 0.3 percent, contributing to the overall market rally. The S&P 500 index neared a record high, as the economy contracted more than expected and weekly jobless claims came in below forecasts. The S&P 500 index rose 48.86 points to 6,141.02, while the Dow Jones Industrial Average rose 404.41 to 43,386.84, and the Nasdaq composite gained 194.36 points.

This rally was driven by optimism surrounding a potential trade deal, which boosted investor sentiment and propelled the market to new heights. The S&P 500 index, a broad market indicator, gained 0.2 percent at the opening bell, marking a fresh record high. The Nasdaq Composite, another key index, also advanced, trading above 20,200 points. The Dow Jones Industrial Average climbed 404.41 points, or 0.94 percent, to 43,386.84, reaching its session highs after positive statements from the White House. The S&P 500 index rose 0.3 percent to 6,156.80, surpassing its previous all-time high set earlier in the year. The Nasdaq Composite also advanced 0.3 percent, contributing to the overall market rally. The S&P 500 index neared a record high, as the economy contracted more than expected and weekly jobless claims came in below forecasts. The S&P 500 index rose 48.86 points to 6,141.02, while the Dow Jones Industrial Average rose 404.41 to 43,386.84, and the Nasdaq composite gained 194.36 points.