Stock gains on cooling inflation, semiconductor bounce

15 July 2026 · Source balance: Centre

U.S. stocks moved higher over two trading days this week as consumer inflation data came in weaker than expected. The S&P 500 rose about 0.4 percent on Tuesday, and similar gains followed Wednesday as traders assessed signs that price pressures are easing. The Nasdaq Composite climbed faster at 0.9 to 0.6 percent on those days. Semiconductor stocks led the way, particularly chipmakers like Micron, AMD, and Nvidia, which rebounded after earlier losses amid growing concerns about whether AI investments will pay off. The consumer price index fell 0.4 percent in June on a monthly basis, bringing annual inflation to 3.5 percent—notably below the expected 3.8 percent. Producer prices also came in softer than forecast. Fed officials and economists say softer inflation suggests the central bank may have less pressure to raise interest rates. However, some remain skeptical, noting that even 3.5 percent inflation runs above the Fed's 2 percent target. Middle East tensions and oil price volatility added cross-currents to the market mood throughout the period.