The Nasdaq Composite closed at a record high on Monday as investors geared up for a data-heavy week that includes two closely watched readings on inflation.
The tech-heavy Nasdaq finished up 0.45% at 21,798.70, a record high after hitting a new all-time intraday high in the session. The S&P 500, meanwhile, settled up 0.21% at 6,495.15, while the Dow Jones Industrial Average rose 114.09 points, or 0.25%, to close at 45,514.95.
The move higher was led by a rise in shares of chipmaker Broadcom, which gained 3%, and artificial intelligence darling Nvidia, whose almost 1% advance reversed some of its steep losses from the past month. Amazon and Microsoft were also higher.
"There just continues to be great momentum for AI spend, AI infrastructure buildout, and [that's] not just concentrated in the ... [Magnificent Seven]," Ross Mayfield, investment strategist at Baird Private Wealth Management, told CNBC, noting that "the average tech stock is doing really well."
"There's kind of a broad-based strength," he continued.
Investors are awaiting two critical inflation reports this week for more insight into the health of the U.S. economy after weaker-than-expected hiring data on Friday. The producer price index report for August is due out Wednesday morning, followed by the consumer price index on Thursday.
The data follows the lackluster August jobs report that helped fuel hope among investors that the Federal Reserve is all but assured to lower benchmark interest rates at its policy meeting later this month. The jobs figures also raised the prospect of a half-point rate cut, per trading data from the CME FedWatch tool.
"We're kind of in a catalyst vacuum," Mayfield also said, adding that there could be some "downside drift" in store with markets at all-time highs in a seasonally weak period. "Markets are going to be in kind of a waiting mode for CPI unless there's some event out of left field with regard to tariffs or trade."
