The S&P 500 rose near a record high after the inflation numbers

US stocks rose on Wednesday after the July consumer price report met expectations and eased fears of imminent rate hikes by the US Federal Reserve.

The rise was driven by technology stocks and especially companies linked to artificial intelligence. The S&P 500 rose close to record levels.

The S&P 500, which broadly tracks large companies, advanced 0.3 percent. The technology-focused Nasdaq gained 0.5 percent. The flagship Dow Jones index fell 0.04 percent.

July’s consumer price index rose 0.1 percent from June, which was in line with expectations. Annual inflation was 3.4 percent.

Core inflation, which excludes food and energy prices, rose 0.2 percent in the month and 2.5 percent in the year. The annual rate of both general inflation and core inflation slowed slightly from June.

According to Bloomberg, the annual pace of core inflation corresponded to the slowest pace since March 2021.

The inflation number was important because the Fed has been closely monitoring the impact of price pressures on the US consumer. At the Fed’s last meeting, three policymakers voted in favor of raising interest rates. In the market, expectations about keeping interest rates unchanged strengthened.

Oil prices remained close to yesterday’s figures. US WTI crude oil settled at around $83 per barrel and Brent at around $89 per barrel.

The technology sector was boosted by results and forecast news related to artificial intelligence. CoreWeave rose 19 percent after the company’s second-quarter adjusted operating profit margin exceeded expectations and revenue doubled from a year ago.

CoreWeave’s second quarter sales exceeded analyst expectations as the company gained more customers for its AI computing services.

Super Micro Computer increased by 19 percent. The company gave a strong forecast for the current quarter’s result and turnover. Other stocks linked to artificial intelligence also rose.

Network equipment manufacturer on the New York Stock Exchange Nokian depository receipt, or ADR, rose 9.3 percent to $10.32.