• The Nasdaq Composite rose 1% as tech stocks led a broad market rally.
  • Investors shrugged off lingering inflation concerns, focusing on strong corporate earnings.
  • The S&P 500 also climbed, with gains in consumer discretionary and communication services.

Stocks on Wall Street extended their winning streak Wednesday, with the Nasdaq Composite surging 1.00% as technology shares powered higher. The index closed at 16,742.39, buoyed by mega-cap names like Nvidia and Microsoft, each gaining over 2%. The S&P 500 rose 0.6%, while the Dow Jones Industrial Average added 0.3%, reflecting broad-based buying.

“The market is shaking off the sticky inflation data from earlier this week and focusing on the resilience of corporate profits,” said Jessica Liu, portfolio manager at Apex Capital. “Earnings season is providing a fresh catalyst, especially for tech.”

Economic data released Tuesday showed consumer prices rose 0.3% month-over-month in March, slightly above expectations, but investors appeared to look past the print. Fed Chair Jerome Powell’s recent comments that interest rates remain restrictive have also eased fears of imminent tightening.

Sector performance was mixed, with technology and consumer discretionary leading, while energy lagged as oil prices slipped. The Philadelphia Semiconductor Index jumped 1.8%, reflecting strong demand for AI-related chips.

In corporate news, Tesla Inc. shares edged up 0.9% after the company announced plans to expand its gigafactory in Texas. Apple Inc. rose 0.7% ahead of its quarterly earnings report next week. Small-cap stocks also participated, with the Russell 2000 gaining 0.5%.

“The rally is broadening beyond mega-cap tech, which is a healthy sign,” noted Michael Chen, chief market strategist at Beacon Wealth. “We’re seeing capital rotate into sectors that benefit from a soft landing scenario.”

Treasury yields were little changed, with the 10-year note hovering at 4.58%. The dollar weakened slightly, providing support to multinational companies. CBOE Volatility Index (VIX) fell below 14, indicating low market anxiety.

Looking ahead, investors will focus on Friday’s producer price index data and earnings from major banks including JPMorgan Chase and Citigroup.

Correction: An earlier version of this article misstated the Nasdaq’s closing level. It has been updated.