WS #14037
The dominant market narrative remains the AI-driven tech rally, with the S&P 500 closing at a record high of 7,798.99 (+0.65%) on tame July PPI (unchanged vs +0.2% expected), which reduced the probability of a September Fed rate hike to ~35-40%. Memory chip makers Sandisk (+13.7%) and Micron (+4.2%) led gains, while Cisco fell 8.4% on disappointing AI revenue guidance. Reddit (RDDT) confirmed its S&P 500 inclusion (effective Aug 18), surging 11% after-hours, and Anthropic's planned $2 trillion IPO (October) remains a high-significance catalyst. Oil prices fell 2% on weak demand and a large US crude build, but geopolitical risk remains elevated: Houthis attacked a Saudi Aramco refinery, and two ADNOC tankers were attacked in the Strait of Hormuz, with Iran and the US trading claims of control. These supply-side events partially offset the bearish oil demand signal, keeping energy stocks supported while pressuring airlines and shipping. The macro theme is STABLE with a bullish tech bias, but the Middle East conflict is ESCALATING, adding a risk premium to oil and defense names.
Topics
Key developments
- Reddit (RDDT) to join S&P 500, shares surge 11% after-hours
- Anthropic plans $2 trillion IPO in October, surpassing SpaceX as largest ever
- Oil prices fall 2% on weak demand and US inventory build, but Houthi attacks on Saudi Aramco and ADNOC tankers keep supply risk elevated
- S&P 500 closes at record high as July PPI unchanged, Fed rate hike odds drop to ~35%
- Cisco (CSCO) falls 8.4% on AI revenue forecast disappointment
- Applied Materials (AMAT) posts record quarter but shares fall in extended trading
- OpenAI revenue run rate tops $40 billion, Bloomberg reports
- SEC cancels Reg Crypto proposal meeting, delaying crypto regulation