Dow Jones futures tilted higher after hours, along with S&P 500 futures and Nasdaq futures.
The stock market rally cleared its June highs Wednesday as the CPI inflation report came in lighter than expected, easing Treasury yields and Fed rate hike fears. Headline CPI inflation tumbled to 3% from May’s 4%. Core CPI inflation slowed to 4.8% from 5.3%.
Nasdaq and S&P 500 hit fresh 52-week highs, while many stocks flashed buy signals.
Nvidia (NVDA) and Microsoft (MSFT), two giants capitalizing on artificial intelligence, flashed buy signals Wednesday. So did AI-exposed chipmakers Taiwan Semiconductor (TSM), Monolithic Power Systems (MPWR) and STMicroelectronics (STM). Other AI plays triggering buys included China internet giants Alibaba (BABA) and Baidu (BIDU) as well as Arista Networks (ANET).
Some cybersecurity plays fell hard as Microsoft expanded its security offerings this week.
Delta Air Lines (DAL) and Fastenal (FAST) report early Thursday.
Nvidia stock is on IBD Leaderboard. ANET stock and Monolithic Power are on SwingTrader. Microsoft stock and Monolithic Power are on IBD Long-Term Leaders. MPWR stock is on the IBD 50. Taiwan Semiconductor was Wednesday’s IBD Stock Of The Day.
The video embedded in the article discussed Wednesday’s bullish market action and analyzed Cava Group (CAVA), Shopify (SHOP) and MPWR stock.
Dow Jones Futures Today
Dow Jones futures rose a fraction vs. fair value. S&P 500 futures climbed 0.1% and Nasdaq 100 futures climbed 0.15%.
Remember that overnight action in Dow futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session.
Join IBD experts as they analyze actionable stocks in the stock market rally on IBD Live
Stock Market Rally
The stock market rally rose solidly on weaker-than-expected inflation data.
The Dow Jones Industrial Average rose 0.3% in Wednesday’s stock market trading. The Dow briefly hit a 2023 high but closed near session lows. The S&P 500 index climbed 0.75% and the Nasdaq composite popped 1.15%, both at their best levels in more than a year. The…