The U.S. stock market rose, driven by strong performances from artificial intelligence (AI) infrastructure companies and inflation data that met expectations. As concerns about a slowdown in AI data center investments eased, semiconductor stocks like Nvidia and Micron showed strength, with SK Hynix's American Depositary Receipts (ADR) soaring over 9%.
On August 12, the S&P 500 index closed up 20.30 points (0.26%) at 4,748.50. The tech-heavy Nasdaq composite rose 143.04 points (0.54%) to finish at 26,588.49. The Dow Jones Industrial Average dipped 21.58 points (0.04%) to close at 33,770.27.
Strong earnings from AI infrastructure firms fueled the rise in tech stocks. According to Reuters, AI cloud company CoreWeave reported second-quarter results that exceeded market expectations and raised its revenue and capital expenditure forecasts for the year, leading to a stock surge of over 19%. AI server company Supermicro also provided a revenue outlook for fiscal year 2027 that surpassed market predictions, resulting in a nearly 19% jump in its stock.
As expectations grew for continued investment in AI data centers, semiconductor stocks rallied across the board. Nvidia rose 3.0%, while Micron increased by 4.9%. The Philadelphia Semiconductor Index also climbed approximately 2.5%.
SK Hynix's ADR, which has drawn significant interest from domestic investors, surged over 9%, reaching the $154 range. This increase is seen as a response to renewed expectations for expanded investments in AI servers and data centers, following a recent significant correction in memory stocks.
Inflation data also supported investor sentiment. The U.S. Consumer Price Index (CPI) for July rose 0.1% from the previous month, aligning with market expectations. The year-over-year increase was 3.4%, down from 3.5% in June.
Excluding food and energy, the core CPI rose 0.2% from the previous month and 2.5% from the same month last year, both in line with market forecasts.
With inflation not exceeding expectations, concerns about the Federal Reserve implementing an additional rate hike in September have diminished. The market is increasingly reflecting the possibility of the Federal Open Market Committee (FOMC) maintaining the current interest rate in September.
Among the 11 sectors of the S&P 500, eight saw gains. The real estate and information technology sectors rose by over 1%. The Chicago Board Options Exchange's volatility index, known as the fear gauge, fell to 14.45.
International oil prices rose slightly amid ongoing uncertainty in negotiations between the U.S. and Iran. Brent crude traded at $88.98 per barrel, while West Texas Intermediate (WTI) closed at $83.27.
* This article has been translated by AI.
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