Market Commentary - Foreign Markets
Wall Street nearly reached a record high on Wednesday, following better-than-expected growth reports from several AI companies and a slightly improved inflation report in the U.S. The S&P 500 rose 0.3%, marking its first gain since achieving an all-time high on Friday. However, the Dow Jones Industrial Average fell by 21 points, less than 0.1%, while the Nasdaq composite increased by 0.5%.
AI stocks drove the market's growth, with Super Micro Computer shares surging 19% after reporting earnings per share that exceeded expectations by 84%. CoreWeave's shares rose 19.3% due to better-than-expected revenue and a smaller loss, as CEO Michael Intrator noted increased demand for AI technology. Nvidia also saw a 3% rise, contributing significantly to the S&P 500's performance.
Conversely, construction companies like D.R. Horton and PulteGroup experienced declines of 3.3% and 2.5%, respectively. Internationally, European indexes dropped while South Korea's Kospi gained 3.7%. U.S. Treasury yields decreased after inflation was reported at 3.4% year-over-year, slightly better than June's 3.5% rate, affecting the housing market negatively.