Cooler July CPI of 3.4% annually pushed September Fed pause odds to 68%, lifting Nasdaq-100 futures nearly 1% and boosting growth stocks.
CoreWeave (CRWV) surged 14% after hours on 112% revenue growth, a $104 billion backlog, and Q3 guidance implying 158% growth.
Foxconn, a key Nvidia (NVDA) supplier, beat estimates with 54% revenue growth to $29 billion as AI server demand accelerates through the supply chain.
Goldman Sachs projects AI demand will exceed compute center capacity for years to come. One
SEC-qualified Regulation A offering is open to everyday investors who
want a stake in closing that gap. See the offering → (sponsor)
Today’s Winners:
Lumentum Holdings (Nasdaq: LITE) up 13.5%
Super Micro Computer (Nasdaq: SMCI) up 13.0%
Sandisk (Nasdaq: SNDK) up 8.4%
Today’s Losers:
First Solar (Nasdaq: FSLR) down 5.6%
Charter Communications (Nasdaq: CHTR) down 4.7%
Tapestry (NYSE: TPR) down 4.4%
A potential tax break for investors is emerging after reports that the Trump administration is considering indexing capital gains taxes to inflation. The idea would let investors adjust their cost basis for inflation, so taxes would apply only to the real gain rather than the portion created by rising prices.
In practice, a $100,000 investment sold for $200,000 after 20% inflation would have an adjusted basis of $120,000, reducing the taxable gain to $80,000 instead of $100,000. The policy is far from final, but if it moved forward, it would be a meaningful shift for taxable portfolios, especially long-held stocks, real estate, and other appreciated assets.
This article will be updated throughout the day, so check back often for more daily updates.
Nasdaq futures led Wall Street higher as a cooler inflation print and another round of AI-linked gains gave bulls a cleaner setup. Nasdaq-100 futures rose 0.9%, while S&P 500 futures added 0.4% and Dow futures climbed 144 points, or 0.3%. The macro catalyst came from July CPI, which landed largely in line with expectations. Headline inflation rose 0.1% for the month and 3.4% from a year earlier, while core CPI increased 0.2% monthly and 2.5% annually. Both annual readings cooled slightly from June, giving traders more room to bet that the Fed can stay patient.
Tech supplied the momentum. CoreWeave (Nasdaq: CRWV) jumped after earnings, while Super Micro Computer (Nasdaq: SMCI) helped keep the AI infrastructure trade in focus. For now, the tape has the combination investors wanted: inflation not hot enough to revive rate fears, and AI demand still strong enough to support growth stocks.
Dow Jones Industrial Average: 53,818 Up 0.02%
Nasdaq Composite: 26,632 Up 0.70%
S&P 500: 7,754 Up 0.35%
Taiwan’s Foxconn, a supplier to Nvidia (Nasdaq: NVDA) and Apple (Nasdaq: AAPL), gave the AI hardware trade another earnings tailwind. Revenue jumped 54.2% year over year to $29.4 billion and net income reaching $1.9 billion, ahead of expectations for $1.8 billion, according to Bloomberg. Demand tied to AI servers and advanced electronics is still flowing through the supply chain.
CoreWeave (Nasdaq: CRWV) jumped 14% after hours after topping expectations, with revenue rising 112% year over year to $2.58 billion and its adjusted loss coming in narrower than expected. The AI infrastructure provider also pointed to a $104 billion backlog, 1.5 gigawatts of active power, and Q3 revenue guidance implying roughly 158% growth at the midpoint.
Contact [email protected] for any questions or corrections.
Gerelyn Terzo is the author of dividend investing handbook "Dividend Investing Strategies: How to Have Your Cake & Eat It Too." A veteran financial journalist, she covers agri-finance for outlets like Global AgInvesting and the broader stock market and personal finance for 24/7 Wall Street. She began at CNBC and later helped launch Fox Business in New York. Gerelyn currently resides in Woodland Park, Colorado and dabbles in nature photography as a hobby.
© Kenishirotie / Shutterstock.com
Top Gaining Stocks
Top Losing Stocks