S&P 500 Extends Rally as Nvidia Bets $5B on Intel; Fed Rate Cut Boosts Risk Assets

U.S. equities climbed higher Thursday, with the S&P 500 advancing 0.4% to maintain its position above 6,600. The Nasdaq Composite outperformed with a 0.8% gain, while the Dow Jones Industrial Average lagged slightly. Market sentiment remains bullish following the Federal Reserve's 25-basis-point rate cut, though Chairman Jerome Powell's cautionary remarks about persistent inflation and labor market weakness tempered enthusiasm.

Nvidia's $5 billion investment in Intel emerged as a key catalyst, signaling confidence in the semiconductor sector's recovery. Treasury yields dipped post-Fed decision, creating favorable conditions for risk assets. Analysts now eye potential S&P 500 upside toward 6,700 as liquidity conditions improve.

The crypto market typically benefits from such macroeconomic conditions, though no specific digital assets were mentioned in this report. Traders will monitor whether capital rotates into Bitcoin and major altcoins as traditional markets approach record highs.