Stocks Hit Record Highs As Softer Inflation Eases Fed Fears
Stocks Hit Record Highs after July PPI was flat, and falling crude eased near-term Fed-hike fears, prompting flows into tech and wider risk assets.
KEY TAKEAWAYS
- July PPI was flat month over month, easing near-term Fed-hike fears.
- Falling crude boosted risk appetite and supported a tech-led rally.
- S&P 500 closed at 7,798.99 and the Nasdaq reached a record with broad new 52-week highs.
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Stocks reached record highs on Aug. 13, 2026, after the U.S. Bureau of Labor Statistics reported that July’s producer-price index (PPI) was flat month over month. Falling crude prices also helped ease near-term concerns about Federal Reserve rate hikes, while technology shares led the gains.
Producer-Price Index Flat, Eases Rate Concerns
The Labor Department released July wholesale inflation data at 8:30 a.m. ET on Aug. 13, showing the PPI was unchanged from June, defying economists’ expectations of a 0.2% increase. Wholesale prices rose 4.7% year over year in July, down from 5.5% in June. The softer inflation reading, combined with a decline in crude oil prices, boosted risk appetite and reduced expectations for near-term Fed tightening.
Major Indexes Close at Records Led by Tech
The S&P 500 closed at 7,798.99, up 50.49 points or 0.7%, hitting an intraday record during the session. The Nasdaq Composite rose 214.54 points, or 0.8%, to 26,803.03, while the Dow Jones Industrial Average gained 69.72 points, or 0.1%, to 53,839.99. The S&P posted 28 new 52-week highs and no new lows, while the Nasdaq recorded 114 new highs and 52 new lows, reflecting broad market participation beyond a narrow group of stocks.
Workday Inc. (WDAY) was among the notable technology-sector movers during the session, benefiting from the broader rally in software and tech shares. The day underscored how wholesale price trends and oil price swings continue to influence market assessments of Fed policy and investor positioning.
