Newscasts - Wall St closes higher fueled by tech rally, soft inflation data

Trump Media & Technology

18/12/2025 23:58

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Source: 'Reuters - Business videos'

Description: Wall Street's main indexes closed higher on Thursday as a soft inflation report fed expectations for interest rate cuts by the Federal Reserve, while chipmaker Micron's blowout forecast signaled strong AI demand. Alex Cohen has more.

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Video Transcript:

Wall Street's main indexes climbed on Thursday, with the Dow edging up marginally, the S&P 500 adding 0.8%, and the NASDAQ advancing about 1.4%. A soft inflation report fueled expectations for more interest rate cuts by the Federal Reserve. The Consumer Price Index report showed that consumer prices increased less than expected from a year earlier in November. The moderation is likely due to technical reasons related to the government shutdown, which prevented the collection of some data. Meanwhile, a blowout forecast from chipmaker Micron Technology helped lift tech stocks on Thursday. Micron shares jumped 10% after the company forecast quarterly profit at nearly double what analysts were expecting on strong AI demand. It comes as massive debt-backed AI spending and unclear paths to profits have dampened risk-taking this quarter. But Rob Sluymer, Technical Strategist with RBC Wealth Management, says he thinks AI-related stocks will continue to rise.

So, I think people are a little bit more nervous around some of the gains in these high-momentum, expensive technology stocks, and I think that's why we've seen some volatility in some of the names, some of the data center stocks and software names that have pulled back very, very sharply. People are taking some of that risk down. Now, again, this is just the first pullback in an otherwise strong uptrend. I think it's pretty early to be making a case that these tech stocks are putting in a big top.

Other stocks on the move included Trump Media & Technology, which surged roughly 42% after the company announced a merger with fusion power firm TAE Technologies in an all-stock deal valued at more than $6 billion.