The Dow Jones index, along with the other two major indexes, marked their fourth consecutive month of gains, largely fueled by growth prospects related to AI. Investors have been supported by a resilient economy and the anticipation of the Federal Reserve's first interest rate cut, which is expected to be in June. The central bank is expected to engineer a soft landing for the economy. The S&P 500, Nasdaq Composite, and Dow Jones Industrial Average all saw significant gains.
Key takeaways:
- US stock markets, including the S&P 500 and the Nasdaq, closed at record highs on Friday, driven by investors' enthusiasm for artificial intelligence (AI).
- Nvidia, the leading AI chipmaker, closed above $2tn in market value for the first time, doubling its market value in nine months.
- Shares of Advanced Micro Devices also reached a record high, and the Philadelphia semiconductor index set a new record.
- Investors are currently targeting June for the first interest rate cut by the Federal Reserve, with expectations that the central bank can engineer a soft landing for the economy.