Stock Market Today: S&P 500 closes above 5K for first time as tech powers ahead

Investing.com -- The S&P 500 closed above the 5,000 level Friday as the record run in stocks continued, underpinned by a rally in tech stocks and economic data showing inflation continues to trend lower. 

By 16:00 ET (21:00 GMT), the S&P 500 rose 0.6% to end the day at record high of 5,025.86, the tech-heavy Nasdaq Composite rose 1.3%, and the blue-chip Dow Jones Industrial Average fell 0.1%

Big tech jumps as Microsoft (NASDAQ:MSFT) eyes record valuation as AI optimism continues

Big tech continued to add to recent gains, with Google (NASDAQ:GOOGL), Apple (NASDAQ:AAPL), and Microsoft in the ascendency as the latter's market capitalization of $3.125 trillion topped the record of $3.081T previously set by Apple. 

Chip stocks also inspired the rally in tech as chip demand will ramp up as the artificial-intelligence boom strengthens.    

"We are in inning 1 of the AI Revolution, a revolution that is going to touch everyone and everything, one that every major company has to contemplate how it will or is affecting its business today and in the near future," Jay Pelosky, TPW Advisory Founder and Principal said in a note.

Inflation continues to trend lower

A revised print of U.S. consumer price index data showed that the annualized rate of inflation in the fourth quarter was unchanged at 3.3%, suggesting that an easing in price pressures throughout last year is still in tact.

The revisions, however, are unlikely to alter the Fed's course on rates, Scotiabank Economics said, as a "very strong US economy and job market plus rising global transportation costs are among the factors that are keeping the Fed cautious."

PepsiCo , Take-Two, Pinterest punished for softer guidance 

PepsiCo (NASDAQ:PEP) reported mixed-quarter results and cut its guidance as the food and beverage pricing power wanes and volumes come under pressure. its shares ended more than 3% lower.

Still, more favorable movements in currency, and Pepsi outlook for dollar EPS of $8.15, should "actually result in a slightly positive earnings revision for 2024 based on current Street estimates," Wedbush said in a note.

Shares in Pinterest (NYSE:PINS) tumbled nearly 10% after the social media company missed fourth-quarter revenue expectations and issued soft guidance for the March quarter.

Some on Wall Street, however, continued to flag the company's current valuation as a concern, which is "pricing in a lot of upside despite the immaterial contribution today," UBS said in a note.

Take-Two (NASDAQ:TTWO) Interactive has cut its annual bookings guidance, citing projected softness for titles like "NBA 2K24" and a planned release moving out of its fiscal fourth quarter. Shares in the video game publisher fell more than 8%.

Cloudflare shines brightly on earnings stage

Cloudflare (NYSE:NET), meanwhile, jumped 21% after reporting better-than-expected first-quarter results and upbeat guidance, driven by new customer wins. 

Bitcoin bounce powers crypto stocks

Bitcoin rose more than 4%, helping crypto-related stocks including , Marathon Digital Holdings Inc (NASDAQ:MARA), Riot Platforms (NASDAQ:RIOT), CleanSpark Inc (NASDAQ:CLSK) rally, with latter also helped by Q1 results that topped Wall Street. 

The latest surge in bitcoin comes amid recent signs that interest in the Bitcoin-spot exchange traded fund is attracting interest. 

The BlackRock (NYSE:BLK) iShares Bitcoin Trust has racked in funds, becoming one of the top five exchange-traded funds of 2024 by inflows, according to recent data from Bloomberg Intelligence.

Begin trading today! Create an account by completing our form

Privacy Notice

At One Financial Markets we are committed to safeguarding your privacy.

Please see our Privacy Policy for details about what information is collected from you and why it is collected. We do not sell your information or use it other than as described in the Policy.

Please note that it is in our legitimate business interest to send you certain marketing emails from time to time. However, if you would prefer not to receive these you can opt-out by ticking the box below.

Alternatively, you can use the unsubscribe link at the bottom of the Demo account confirmation email or any subsequent emails we send.

By completing the form and downloading the platform you agree with the use of your personal information as detailed in the Policy.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.4% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Back to top

Office network

One Financial Markets is the trading name of Axi Financial Services (UK) Ltd, a company registered in England with company number 6050593. Axi Financial Services (UK) Ltd is authorised and regulated by the Financial Conduct Authority in the UK (under firm reference number 466201)

The information on this site is not directed at residents of the United States, Belgium, Poland or any particular country outside the UK and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

www.onefinancialmarkets.com is owned and operated by Axi Financial Services (UK) Ltd.

Award winning broker
We have been presented with a number of awards that recognise the quality of our service and dedication to our clients :

Best FSA Regulated Broker
Saudi Money Expo

Best Education Product
Saudi Money Expo

Best Broker - Online Trading
IAIR Awards

Best Institutional Broker
Saudi Money Expo

Best FX Services Broker
CN Forex

Top International
FX Broker 2015

Saudi Money Expo

Broker of the Year
Online Trading – Middle East

IAIR Awards

Best Forex
Customer Service 2018

JFEX Awards

We accept the following payment methods: