US Stock Market Today: S&P 500 Surges After Four-Day Slide, Dow Jones and Nasdaq Also Gained
The broad market index climbed 0.79% to close at 6,774.76. The Nasdaq Composite led the gains, rising 1.38% to 23,006.36, while the Dow Jones Industrial Average added 65.88 points, or 0.14%, closing at 47,951.85, as per a CNBC report.
Stock Market Today Surged Reason: November CPI Indicates Easing Price Pressures
Thursday’s market boost followed the delayed release of the November consumer price index report, the first since the US government shutdown ended last month. The Bureau of Labor Statistics reported headline annual inflation of 2.7%, below economists’ expectations of 3.1%. Core CPI, which excludes food and energy, came in at 2.6%, also lower than the forecast of 3%.
The report, originally scheduled for December 10, had been postponed due to the federal shutdown, and the October inflation data had also been canceled. As a result, Thursday’s reading lacked some of the usual comparison points. Economists cautioned that this might limit the significance of the data as the start of a sustained downward trend in inflation, with some pointing to potential issues in housing cost calculations.
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US Stocks Rose After Jobless Claims Below Estimates Boosted Investor Confidence
Still, stocks extended their gains after the report, bolstered by initial jobless claims coming in below estimates. David Waddell, CEO and chief investment strategist at Waddell & Associates, told CNBC that, “Those [owners’ equivalent rent] numbers and everything were kind of back to almost pre-Covid levels in terms of the appreciation,” adding, “Perhaps there’ll be some adjustments, but I think at the moment, [the report] is saying inflation is under control,” as quoted in the report.
Why Micron Technology Stock Today Led AI and Tech Stock Gains
Micron Technology emerged as a standout performer on Thursday, soaring roughly 10% after delivering a strong revenue forecast for the current quarter. The semiconductor company’s report helped revive interest in the artificial intelligence trade, which had weakened in recent sessions.Also read: Federal holidays 2025 update: Trump gives 2 extra offs this year on Christmas eve and December 26 – here’s what federal workers need to know
Chris O’Keefe, lead portfolio manager at Logan Capital Management, explained that, “Micron’s report was indicative of the fact that spending is going to be huge and continue to be huge going for the next 12-18 months,” as quoted by CNBC.
O’Keefe added that, “There will be winners and losers in this, and that needs to get sorted out, but if you follow the earnings here, I wouldn’t give up on the AI trade. I think that some of these stocks now have just huge upside given the pullbacks,” as quoted in the report.
FAQs
Why did the S&P 500 rebound on Thursday?
Weaker-than-expected inflation and strong guidance from Micron Technology lifted investor sentiment.
How much did the Nasdaq gain?
The Nasdaq rose 1.38%, reaching 23,006.36.