12.02.202614:36:20UTC+00Dow Extends Record High

US stocks advanced on Thursday, regaining ground after Wednesday’s volatile session as signs of economic strength were weighed against the prospect of a more hawkish Federal Reserve. The three major indices were up about 0.5%, with the Dow Jones Industrial Average setting another record high at 50,300.

Within technology, performance diverged sharply. AI infrastructure names extended their rally, while growing optimism around AI automation tools fueled concerns about potential displacement for software service providers. Micron climbed 10% after its CFO struck an upbeat tone on ramping up production of its key HBM4 product. In the same space, Equinix jumped 11% after exceeding its guidance, whereas Cisco slipped 5% on a softer outlook.

Outside tech, McDonald’s gained 1% following its earnings release. Meanwhile, strong labor market data published yesterday bolstered the case of the Federal Open Market Committee’s more hawkish members, as investors look ahead to tomorrow’s January CPI report for fresh insight into the other side of the Fed’s dual mandate.