The S&P 500 rose to a fresh all-time intraday high on Thursday as oil prices declined and traders digested more inflation data.
The broad market index added 0.65% and surpassed 7,800 for the first time ever. The S&P 500 notched a closing record of 7,798.99. The Nasdaq Composite gained 0.81% to end at 26,803.03, boosted by gains in Meta Platforms, Micron Technology and Netflix. The Dow Jones Industrial Average inched up 0.13%, or 69.72 points, to 53,839.99.
Brent crude futures shed more than 2% to close at $87.07 per barrel. West Texas Intermediate futures also slid more than 2% to settle at $81.25 per barrel. The moves come as traders weighed falling oil demand while the U.S.-Iran war continues.
Wall Street got another look at U.S. inflation on Thursday, with the July reading of the U.S. producer price index — which gauges what wholesalers pay for raw goods and materials — coming in unchanged. Economists polled by Dow Jones had called for an increase of 0.2% on the month. Excluding volatile food and energy prices, core PPI rose 0.2%, just below the gain of 0.3% economists expected.
The lighter-than-expected PPI report comes a day after an in-line reading on the consumer price index.
CPI for July increased by 0.1% month over month, matching expectations. The tame report gave the S&P 500 a boost, with the benchmark closing higher for the first time in three sessions. The report led to traders paring expectations for a rate hike in September.
"The inflation picture at the moment isn't enough to derail what really remains an earnings-driven market," said Bill Merz, head of capital markets research at U.S. Bank Asset Management.
"It remains to be seen how the Fed under new Chair [Kevin] Warsh is going to interpret these numbers and what they do about it, if anything, and so that remains a little bit of an uncertainty that markets are digesting," he continued. "But for the time being, some incremental moderation in CPI and PPI numbers, that's constructive."
Cisco Systems was a key laggard of the day, falling more than 8% after the company's latest quarterly results failed to impress investors. Cerebras and Coherent also moved lower after their earnings updates, with the former plummeting almost 12% and the latter dropping roughly 8%.
Stocks finish in the green
The three leading U.S. indexes finished in positive territory on Thursday.
The S&P 500 gained 0.65% to close at 7,798.99, while the Nasdaq Composite advanced 0.81% to 26,803.03. The Dow Jones Industrial Average added 69.72 points, or 0.13%, to 53,839.99.
Steve Eisman of ‘The Big Short’ spots a weak spot in the artificial intelligence boom
Anthropic and OpenAI have emerged as the heavyweights in the world of artificial intelligence, and the fortunes of tech giants like Microsoft and Amazon depend heavily upon them, according to 'Big Short' trader Steve Eisman.
"The futures of these massive companies, in a sense, are a bet that OpenAI, Anthropic are going to succeed," Eisman said on CNBC's "Fast Money" Tuesday evening.
He also said that Chinese open-source AI models, which are cheaper and seem to be growing market share, could pose a revenue threat.
Read more about Steve Eisman and the AI boom from CNBC's Yun Li here.
Workday in talks to be acquired by a private equity firm, Reuters says
Software company Workday is in talks to be acquired by private equity firm Silver Lake, Reuters reported on Thursday.
Shares were halted in response after the sock jumped on the news. The stock was last up almost 26%.
Citing people familiar with the matter, Reuters said Silver Lake and Workday have held discussions about a takeover in recent months, but the talks are ongoing and a deal may not come to fruition, the people added.
Before the jump in midday trading Thursday, Workday was off 18% in 2026. The stock is now positive for the year after the surge.
Iran to join BRICS New Development Bank as war stretches out to nearly six months
Iran announced it will join BRIC New Development Bank on Thursday, as it enters a nearly six month war with the U.S. and Israel.
The BRIC group was founded by Brazil, Russia and India in 2006 with South Africa, Egypt, Ethiopia, Saudi Arabia, among other nations joining since.
"We are seeking to establish bilateral and trilateral monetary cooperation with member states," said Abdolnasser Hemmati, governor of the Central Bank of Iran, according to Tasnim's report.
Stocks making big moves: Netflix, Super Micro Computer, Cisco Systems
Here are some of the companies making headlines in midday trading:
- Netflix — The streaming giant leapt more than 3% after Bill Ackman's Pershing Square disclosed a new stake in Netflix. The firm last took a position in Netflix in early 2022 but sold it roughly three months later.
- Super Micro Computer — Shares of the data center server company continued their post-earnings surge. Super Micro last traded 6% higher, adding to its 19% advance from Wednesday. Guidance for the first quarter surpassed estimates, with the company calling for adjusted earnings of $1.01 to $1.10 per share and revenue of $14.5 billion to $15.5 billion. Analysts polled by FactSet sought 72 cents per share and $11.82 billion.
- Cisco Systems – Shares of the networking tech giant fell 9%. Cisco's outlook for adjusted gross margin in the first quarter came in at 65% to 66%, narrowly missing the FactSet consensus of 66.1%. The forecast overshadowed solid guidance for the fiscal year ending July 2027. "We expect CSCO to trade mixed as the stronger FY27 guide is offset by gross margin concerns," Goldman Sachs said in a Wednesday report.
Read the full list here.
UBS hikes outlook on Brinker thanks to momentum at Chili’s
Shares of Brinker International, the casual dining operator, are getting a boost thanks to its subsidiary Chili's, according to UBS.
The bank reiterated its buy rating on the stock and hiked its price target to $285 from $260. That implies an almost 16% gain from Wednesday's close. Shares jumped more than 11% on Wednesday after the company delivered its latest earnings report, which analyst Dennis Geiger said showed solid growth at the company.
"We're encouraged by Chili's sales momentum into F1Q, with QTD sss meaningfully
accelerating from F4Q levels (5.6%) and strength sustaining from July into early August," Geiger wrote in a Thursday note, singling out Chili's. Driving the subsidiary's growth is strong value, menu upgrades, effective marketing and operational improvements.
Geiger added he continues to like shares of Brinker as he believes execution of strategic plans can lead to further outperformances and earnings upside potential.
Netflix pops after Bill Ackman discloses a new stake
Shares of Netflix rose more than 3% after Bill Ackman's Pershing Square Capital Management said it has taken a new position in the streaming giant.
Pershing Square previously had a stake in Netflix in early 2022, but the firm exited the position about three months later after the company reported its first subscriber decline in more than 10 years.
—Yun Li and Darla Mercado
Coffee outpacing the AI trade of late
Coffee futures are up 13% over the past three months, beating the VanEck Semiconductor ETF (SMH) — one of the big beneficiaries of AI — which is up just 2.2% through Wednesday's close. The Roundhill Memory ETF (DRAM) is little changed over the same time. Coffee has even outpaced the broader market by a factor of three, with the S&P 500 advancing 4.1% since mid-May.
Russell 2000 hits all time high
The Russell 2000, which focuses on small-cap stocks, just hit a record-breaking high of 3,067 on Thursday.
It's up over 23% year to date and up over 2% in the last month.
Cleveland Fed President Beth Hammack says the central bank should raise rates immediately
Cleveland Federal Reserve Bank President Beth Hammack on Thursday doubled down on her view that the central bank should raise rates immediately to bring down inflation.
"It's really critical we act now to bring inflation back to the target level," Hammack said at the Dayton Area Chamber of Commerce. "The longer is stays above the target, the harder is to bring back down. The more that is felt by businesses and individuals."
Hammack — who was one of three dissenters at the June meeting who voted to raise rates — has previously said that she expects multiple increases likely will be needed.
Stocks open higher
U.S. equities rose on Thursday morning.
The S&P 500 gained 0.2% just after 9:30 a.m. ET, while the Nasdaq Composite advanced 0.1%. The Dow Jones Industrial Average climbed 119 points, or 0.3%.
'Fed is likely to keep rates steady through year-end,' investor says
While the latest producer price index reading may be a sign that inflation is stabilizing, more developments will have to occur for the Federal Reserve to move on interest rates, according to Glen Smith of GDS Wealth Management
"Thursday's PPI alone doesn't change the calculus of the Federal Reserve, as the key to taming the inflation picture right now is a resolution in the Middle East or the establishment of pipelines to rely less on the Strait of Hormuz and the Fed has no influence on that," the chief investment officer said.
"For now, the Fed is likely to keep rates steady through year-end," he continued.
PPI comes in flat for July
The producer price index, which measures what wholesalers pay for raw goods and materials, was flat month over month in July. Economists polled by Dow Jones expected an increase of 0.2%.
Goldman flags margin guidance concerns for Cisco
Networking hardware company Cisco delivered a beat on expectations for revenue and earnings-per-share in the fourth quarter, but its guidance on margins is a concern for the Street.
The company's first-quarter fiscal 2027 gross margin guidance of 65% to 66% is below the consensus estimate of 66.4%, analysts with Goldman Sachs noted on Wednesday.
"We expect CSCO to trade mixed as the stronger FY27 guide is offset by gross margin concerns," Michael Ng at Goldman wrote in a note to clients.
Tapestry, Yeti and Birkenstock among the stocks making moves before the bell
Check out the companies making the biggest moves in premarket trading:
- Tapestry — The parent of Kate Spade and Coach dropped 7% on underwhelming results for the fiscal fourth quarter. Tapestry earned $1.32 per share on revenue of $1.88 billion. While earnings were above the FactSet consensus of $1.28 per share, revenue only just exceeded a $1.87 billion estimate. The company did increase its quarterly dividend to 46.25 cents per share from 40 cents per share
- Yeti — The drinkware and cooler maker slipped nearly 4% after the company reported mixed second-quarter results. Yei earned an adjusted 67 cents per share, topping a FactSet consensus estimate of 54 cents per share. Revenue, meanwhile, came in at $483.9 million, just above a $483.8 million estimate.
- Birkenstock — The U.K.-based shoe company jumped 10% after its quarterly revenue and adjusted earnings before interest, taxes, depreciation, and amortization beat expectations. Birkenstock also said it expects its full-year revenue and adjusted EBITDA to come in at the high end of its prior guidance.
Read the full list here.
Here's the latest ahead of the opening bell on Wall Street
- Stock futures edged higher early Thursday. Dow Jones Industrial Average futures added 99 points, or 0.18%. S&P 500 futures were up 0.14%, while Nasdaq-100 futures were just above the flatline.
- Cisco Systems, Cerebras and Coherent all moved lower in pre-market trading after earnings updates overnight.
- Investors will be monitoring the July reading of the U.S. producer price index, which gauges what wholesalers pay for raw goods and materials. It is set for release at 8:30 a.m. ET.
- Anthropic could go public as soon as October, with its investors targeting a record valuation of $2 trillion, according to the Financial Times.
Treasury yields inch lower
Treasury yields edged lower as traders parsed inflation data for July that matched expectations and showed price increases may have continued to cool.
The yield on the 10-year U.S. Treasury note — the key benchmark for pricing mortgages, auto loans and credit card debt — was 1 basis point lower at 4.6704%.
The 2-year Treasury note yield, which more closely tracks expectations for Federal Reserve interest rate policy, was off more than 2 basis points at 4.1738%. The longer-dated 30-year Treasury bond yield held steady at 5.2371%.
Maersk shares jump 7% after shipping giant smashes profit estimates and hikes outlook
Danish shipping giant Maersk on Thursday hiked its 2026 earnings guidance for the second time this year, as global trade movements remain stymied by the Strait of Hormuz blockade.
Shares of the company surged 7% shortly after the opening bell.
Maersk, widely regarded as a barometer of global trade, reported preliminary underlying earnings before interest, tax, depreciation and amortization (EBITDA) of $3 billion for April to June. That's well above the $2.04 billion expected by analysts in an LSEG-compiled consensus.
European markets open Thursday's session in the green
The pan-European Stoxx 600 was up 0.15% shortly after 8:10 a.m. in London (3:10 a.m. E.T.), as most regional sectors moved higher and the continent's main bourses notched early gains.
European banks were up 0.8%, with travel and leisure, household goods and retail all advancing more than 0.4%.
Meanwhile, Germany's DAX was up 0.39%, the Italian FTSE MIB added 0.37%, and the French CAC 40 gained 0.23%. But the U.K.'s FTSE 100 retreated in early trade, moving 0.11% lower.
Kospi soars as Asia-Pacific markets end mixed
Asia-Pacific markets ended mixed Thursday. Kospi rose 3.6% to end at 6,813.34, while the small-cap Kosdaq index added 0.29% to close at 861.37.
Japan's Nikkei 225 added 1.16% to 68,308.59, while the Topix ended 0.89% higher at 4,176.04
Australia's benchmark S&P/ASX 200 lost 0.23% to 9,188.5.
Mainland China's CSI 300 declined 0.57% to 4,663.95.
Hong Kong's Hang Seng Index was down 0.38% as of its final hour of trade.
Anthropic investors eye record $2 trillion IPO: FT
The Financial Times reported Wednesday morning that Anthropic investors expect the company's valuation to exceed $2 trillion when it makes its stock market debut.
Anthropic could go public as soon as October, with its investors targeting a record valuation of $2 trillion, according to the Financial Times.
The AI start-up is reportedly targeting a listing this year, but has not officially set a date for an IPO.
Citing half a dozen investors in the company, the FT said Anthropic's surging revenues meant it would be able to more than double its current valuation by the autumn.
A $2 trillion float would give the company the largest IPO in history, surpassing SpaceX, which went public at a valuation of £1.77 trillion in June. SpaceX shares have since seen volatile trading, dropping substantially after a post-IPO rally and closing above their IPO price for the first time in weeks on Monday.
U.K. economy grew 0.4% in second quarter with surprise jump in business investment
Business investment in the U.K. jumped 1.7% in the second quarter, beating the 0.5% drop expected by Reuters, as GDP rose in the three months to the end of June.
Real GDP increased 0.4% in the second quarter, down from 0.6% in the previous quarter, but in line with expectations, the U.K.'s Office for National Statistics said Thursday. Monthly GDP was up 0.3%, following no growth in May.
Within gross fixed capital formation — which tracks national investment in productive assets — the surprise 1.7% jump in business investment was fueled by IT, communications, machinery and other hardware investment, the ONS said.
Business investment is now estimated to be 0.8% higher than the same quarter a year ago.
Economists and strategists said second-quarter strength was driven largely by temporary factors, including unusually warm weather and the FIFA World Cup.
Suren Thiru, chief economist at the Institute of Chartered Accountants in England and Wales, warned of a "painful deceleration" in the third quarter, adding that softer economic activity means the chances of a Bank of England rate hike in September remain "slim."
"Overall, economic activity in the first half of the year has proven more resilient than many expected," said David Smith, portfolio manager at Henderson High Income. "However, history suggests some caution is warranted, as growth has tended to lose momentum in the second half of the year amid uncertainty ahead of the Budget."
European markets expected to open Thursday's session in the green
Stoxx 50 futures were 0.39% higher ahead of the Thursday's opening bell, with the continent's main bourses expected to start the session in the green.
The French CAC 40 led the way, up 0.34% ahead of the market open, with Germany's DAX set to start the day up 0.28%. The Italian FTSE MIB was expected to open up 0.33%, and the U.K.'s FTSE 100 seen opening 0.29% higher.
Asian chip stocks climb as AI enthusiasm returns
Asian semiconductor stocks rallied Thursday, extending a rebound in the region's technology sector as easing concerns over U.S. rate hikes and renewed optimism around artificial intelligence spending lifted sentiment.
In South Korea, memory-chip heavyweight SK Hynix jumped more than 7%, while Samsung Electronics gained about 5.7%. Other semiconductor-related names also advanced, with LG Innotek up 4.3% and Seoul Semiconductor gaining 1.8%. The moves build on a sharp recovery in Korean chipmakers after a bruising sell-off in recent weeks.
Japanese semiconductor stocks also climbed. Chip-testing equipment maker Advantest rose 4.9%, while Tokyo Electron gained about 3.2%. Disco surged more than 6%, Lasertec added about 5.1% while Kioxia jumped over 7%.
Taiwan's TSMC edged up 0.62%.
Samsonite shares jump 7% after luggage maker agrees to acquire BÉIS
Shares of Samsonite Group gained 7.2% on Thursday after the luggage maker announced it had agreed to acquire an 85% stake in BÉIS, a U.S.-based lifestyle and travel brand, for $178.5 million.
Founded in 2018, BÉIS targets younger, predominantly female consumers and has expanded into lifestyle bag categories. The brand generated roughly $210 million in net sales in 2025.
Samsonite's latest acquisition comes as the Hong Kong-listed luggage maker prepares for a U.S. dual listing.
Oil rises on worries over supply disruptions as spill near Oman worsens
Oil rose Thursday as recent deadly attacks on vessels in the Gulf of Oman and the Red Sea keep markets jittery, while a spill near Oman continues to spread.
Futures for international benchmark Brent crude for October delivery gained 1.01% to $88.09 a barrel. U.S. West Texas Intermediate futures for September advanced 1.15% to $82.31 per barrel.
Oman's coastline has reportedly started being affected by a massive oil spill caused by a leaking tanker that ran aground June 30 carrying an estimated 800,000 barrels of Russian oil and is under international sanctions, according to Reuters. It's leaking near a nature reserve that's home to wildlife including Arabian Sea humpback whales and Socotra cormorants, Reuters reported.
Tencent, Foxconn shares fall after second-quarter results
Shares of Tencent Holdings fell 3%, while Foxconn dropped 2.8% following the release of their second-quarter results Wednesday.
Tencent's revenue rose 11% from a year earlier to 204.78 billion Chinese yuan ($30.36 billion), while net profit attributable to shareholders edged up 0.7% to 56 billion yuan.
Foxconn reported a 41% jump in second-quarter revenue to $2.53 trillion New Taiwan dollars, while operating profit rose 68% to NT$94.8 billion.
South Korea stocks enter bull market as AI trade roars back
South Korean stocks rallied Thursday, lifting the benchmark Kospi into a technical bull market as a global revival in the AI trade fuels a sharp recovery after last month's historic sell-off.
The Kospi jumped over 4% in early trade, taking its rebound from its July 30 low to roughly 23%, data from LSEG showed.
Index heavyweights Samsung Electronics and SK Hynix led the gains, with the chip giants rising over 4% and 7%, respectively.
South Korea’s Kospi rises over 4%, Japan's Nikkei 225 gains more than 1%
Asia-Pacific markets opened largely in the green on Thursday. South Korea's Kospi rose 4%, while the small-cap Kosdaq added 0.92%.
Japan's Nikkei 225 added 1.5%, and the Topix advanced 0.99%.
Australia's benchmark S&P/ASX 200 was down 0.12%.
Japan's Nikkei 225 is set to open higher with focus on producer inflation data
Japan stocks were set to open higher, with focus on the country's wholesale inflation data.
Japan's Nikkei 225 Chicago futures contract was trading at 68,585 and its Osaka counterpart was last at 68,550 compared with the index's previous close of 67,524.06.
Hong Kong's Hang Seng index futures last traded at 25,320, below the benchmark's close of 25,440.17.
Futures for Australia's S&P/ASX 200 last traded at 9,128, compared with the index's Wednesday close of 9,209.4.
Investors also await U.S. wholesale inflation data after consumer inflation came in line with estimates.
The July reading of the U.S. producer price index, which gauges what wholesalers pay for raw goods and materials, is set for release Thursday at 8:30 a.m. ET. Economists polled by Dow Jones expect an increase of 0.2% from the prior month.
Cerebras, Coherent among the stocks making big moves after the bell
Check out the companies making the biggest moves after the bell:
- Coherent — The photonics company lost almost 3% in extended trading after adjusted gross margin for the fourth quarter was roughly in line with estimates. Non-GAAP gross margin was 40.2%, while the StreetAccount consensus estimate anticipated 40%. Guidance for first quarter earnings and revenue surpassed analysts' expectations.
- Cerebras Systems – Shares of the artificial intelligence chip manufacturer tumbled 14%. Revenue in the second quarter came in at $180 million, versus the $194 million LSEG consensus estimate.
- Cisco Systems – Shares fell 3%. Adjusted gross margin for the fourth quarter only narrowly beat estimates, coming in at 66.3% versus the StreetAccount consensus call for 66%.
Stock futures are little changed
Dow Jones Industrial Average futures traded just over the flatline. S&P 500 futures fell marginally, while Nasdaq-100 futures slipped 0.1%.
Source: CNBC
