S&P 500 Smashes Records: Bulls Charge as Index Eyes Historic Close Above 6,400

Wall Street's relentless rally isn't taking prisoners—the S&P 500 just punched through another psychological barrier. Traders are now watching the tape with diamond hands as the benchmark flirts with a record close north of 6,400.

### The Tape Doesn't Lie

No fancy derivatives or Fed whispers needed—this is pure price action euphoria. The big money's betting the house on risk assets while Main Street still thinks 'diversification' means owning both SPY and QQQ.

### Gravity Works Differently on Wall Street

Forget fundamentals—momentum algos and FOMO are writing the playbook now. The only resistance level that matters? The psychological ceiling at 6,400... until next week's target, obviously.

*Another day, another ATH—because in this market, 'overbought' is just what bears call being early.*

Stocks rise after CPI data

Wall Street surged after the Bureau of Labor Statistics released the consumer price index report, with inflation holding steady at 2.7% year over year.

The CPI reading showed price increases matched June numbers. However, “core” inflation, a measure that excludes the volatile food and energy costs, showed a 0.3% increase in July to 3.1% YoY, and above the 2.9% seen in June.

Despite the core CPI, Optimism that the Federal Reserve will cut rates in September, helped stocks higher. Bets on the central bank cutting rates in September have jumped to odds of 94%.

The CPI reading aside, investors are likely to flip even more bullish with the next economic data release, with the producer price index set for reporting on Thursday, August 14, and retail sales data scheduled for the next day.

Other market factors

Corporate earnings and tariff related news remain notable factors for investors. President Donald TRUMP signing another 90-day pause on key tariffs on China has the market upbeat as a trade remains in the works.

The S&P 500’s rally to above 6,400 and Nasdaq’s march to a new peak has largely been catalyzed by gains for tech stocks. 

Analysts have pointed to the benchmark index’s top 20 stocks rebounding by more than 40% since its bottom- compared to 27.9% for the rest of the companies. Top drivers for the outperforming tech stocks include the artificial intelligence sector, with AI helping Nvidia, Microsoft, Apple, and Alphabet among others to record significant gains.