by Chuck Mikolajczak

NEW YORK (Reuters) – The New York Stock Exchange ended higher on Thursday as inflation data and comments from U.S. Federal Reserve (Fed) officials fueled expectations over the timing of the rate cut of the central bank.

The Dow Jones index gained 0.12%, or 47.37 points, to 38,996.39 points.

The broader S&P-500 gained 26.51 points, or 0.52%, to 5,096.27 points.

The Nasdaq Composite advanced 144.18 points (0.90%) to 16,091.922 points.

Semiconductor makers Nvidia and Advanced Micro Devices surged as technology companies benefited in recent months from optimism over growth prospects linked to artificial intelligence (AI).

Dell Technologies, which sells AI-optimized servers using processors developed by Nvidia, finished higher ahead of the release of its fourth-quarter results.

Data released Thursday by the Commerce Department show that the PCE consumer price index, closely followed by the US Federal Reserve (Fed), increased in January by 0.3% compared to an increase of 0.1% ( revised) in December.

Traders now anticipate a first rate cut from the Fed in June, according to the CME Group’s FedWatch barometer.

“There’s no real reason for the market to expect the Fed to be any more hawkish than it already has been,” said Ross Mayfield, an analyst at Baird.

“It doesn’t matter what we think (Fed officials) should do, what matters is what they said they would do.”

The US Department of Labor, for its part, indicated that unemployment claims increased in the United States during the week ending February 24, to 215,000 compared to 202,000 (revised) the previous week.

In values, Snowflake fell after reporting product turnover lower than Wall Street’s expectations.

Paramount Global rose after posting an unexpected profit, supported by streaming-related gains.

( Camille Raynaud)

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