S&P 500 and Nasdaq closed at record highs despite major job data revisions

Wall Street didn’t ￰0￱ three major indexes closed at record highs Tuesday, ignoring warning signs in the economy like it was business as ￰1￱ S&P 500 finished the session up 0.27% at 6,512.61, while the Nasdaq Composite rose 0.37% to close at 21,879.49, a new intraday record ￰2￱ Dow Jones Industrial Average added 196.39 points, or 0.43%, landing at 45,711.34. One big reason? A surge in UnitedHealth stock. Meanwhile, new labor data dropped like a ￰3￱ Bureau of Labor Statistics revised its numbers for the 12 months through March, cutting 911,000 jobs from the books, Cryptopolitan reported ￰4￱ weren’t tiny ￰5￱ was the biggest downward revision since at least ￰6￱ was also way worse than Wall Street expected.

Basically, job growth during that period was a lot weaker than people thought. “I think the economy is weakening,” said Jamie Dimon, CEO of JPMorgan Chase, during a chat with CNBC. “Whether it’s on the way to recession or just weakening, I don’t know.” Stocks rally despite ugly job numbers Despite the brutal revisions, markets barely reacted. Why?

Because the data covered a period that ended six months ￰7￱ didn’t see it as an immediate ￰8￱ there’s a twist, this kind of bad labor data might pressure the Federal Reserve to start cutting interest rates faster than planned. That’s what Wall Street really cares ￰9￱ Zaccarelli, the chief investment officer at Northlight Asset Management, put it this way: “The jobs picture keeps deteriorating and while that should make it easier for the Fed to cut rates this fall, it could also throw some cold water on the recent rally.” So yeah, rate cuts could ￰10￱ they will likely not be the magic fix everyone’s betting ￰11￱ stocks, especially semiconductors, have been doing a lot of the heavy lifting ￰12￱ and Nvidia helped push the Nasdaq to that record high earlier this ￰13￱ Broadcom took a hit on Tuesday, falling more than 2%, after rallying nearly 13% over the past ￰14￱ little stumble didn’t derail the bigger momentum, but it was a reminder that even hot stocks can cool ￰15￱ watch inflation, and AI frenzy grows What’s next?

Two big inflation reports that could shape what the Fed decides at its meeting next ￰16￱ Producer Price Index (PPI) for August comes out on Wednesday ￰17￱ on Thursday, it’s the Consumer Price Index (CPI). If either one shows inflation heating up again, it could kill the whole “rate cuts are coming” fantasy. “If the CPI shows a worsening trend of higher inflation on Thursday then the market will begin worrying about stagflation,” said Zaccarelli. “The bull market has been extremely resilient this year, but we could be approaching an inflection point where it is tested again.” In plain English: If prices rise and growth slows at the same time, things could get ￰18￱ Wall Street kept one eye on inflation and the other on job data, a full-on buying frenzy broke out in the AI ￰19￱ Group, a lesser-known infrastructure company focused on artificial intelligence, exploded almost 50% higher ￰20￱ came one day after it announced a multi-billion-dollar deal with ￰21￱ stock had already jumped 60% in extended trading on Monday.

Nebius’s rival CoreWeave saw its own boost, up 8%, just from riding the same ￰22￱ smartest crypto minds already read our ￰23￱ in? Join them .