Wall Street pushed higher Thursday as a softer-than-expected Producer Price Index reading gave investors fresh confidence that inflation is continuing its gradual retreat. The PPI came in flat month-over-month versus a 0.2% consensus estimate, reinforcing hopes that the Federal Reserve's long rate-hiking campaign has done its job and that cuts could arrive before year-end. All three major indexes closed solidly in the green.
Tech was the clear outperformer, with the Nasdaq gaining 1.3% and reclaiming territory it hasn't seen in weeks. Nvidia was the marquee story, surging nearly 5% on the back of an earnings beat that highlighted insatiable enterprise demand for AI infrastructure. The chip giant's results lifted the broader semiconductor space, with AMD and Broadcom also posting solid gains on the session.
Energy stocks were mixed as crude oil edged higher to $78 a barrel, supported by a surprise drawdown in U.S. crude inventories reported by the EIA. Healthcare was the day's laggard sector after CVS Health slashed its annual profit forecast, dragging managed-care peers lower in sympathy. United Health and Humana both dipped modestly in the aftermath.
The VIX slipped to 17.4, reflecting growing calm in the options market and suggesting traders are becoming more comfortable holding risk into the weekend. Gold held steady near $2,341, while the 10-year Treasury yield ticked down slightly — a combination that kept growth stocks in favor.