The S&P 500 has set a new historical record, surpassing the 7000-point mark for the first time. This breakthrough occurred just before the meeting of the U.S. Federal Reserve, which sparked a rally in the stock market.
This is reported by Business • Media
Technology Sector and Artificial Intelligence Stimulate Growth
The achievement of this new high was made possible by the strong growth of companies in the high-tech and artificial intelligence sectors. Analysts emphasize that these industries remain key drivers of the overall positive trend in the U.S. stock market. Over the past five days, the S&P 500 has gained over 1.3%, and the index is currently trying to establish itself above this historical level.
Reactions from Leaders and Experts, Impact on the Crypto Market
U.S. President Donald Trump responded to the event on social media, stating:
“America is back on top.”
The historic breakthrough of the index coincided with expectations regarding the Fed’s decision on interest rates. According to CME Group forecasts, the probability of further easing of monetary policy is currently less than 3%, and markets are closely monitoring the rhetoric of Fed Chair Jerome Powell.
Experts note that breaking through the 7000-point level confirms the continuation of the upward trend in the stock market.
“Since October, the market has been stuck around the 6900 mark, plus or minus 50 points. The breakout above the sideways movement that lasted over two months gives investors a positive sentiment and is a good technical signal. […] This won’t radically change the situation, but it will add some excitement,” said Keith Lerner, Chief Investment Officer and Chief Market Strategist at Truist Advisory Services, in a comment to Bloomberg.
At the same time, the new high of the S&P 500 has not significantly impacted the crypto market. All major cryptocurrencies in the top 10 by market capitalization are showing only slight daily gains. Analysts explain this by the low correlation between cryptocurrencies and the U.S. stock market, which, according to Newhedge, currently stands at 0.39.