ASML's bullish forecast and comments from Donald Trump influence market performance amid inflation reports.
US stocks edged higher following positive signals regarding artificial intelligence demand and a cooler-than-expected report on wholesale inflation. ASML, a chipmaking equipment producer, boosted market confidence by raising its annual sales forecast, citing robust AI demand, which helped temper concerns over chip supply bottlenecks. Wholesale inflation slowed in June, according to data from the Bureau of Labor Statistics, largely due to falling energy costs. Despite this cooling data, energy prices are expected to rise due to renewed conflict in the Middle East. During his testimony before the Senate Banking Committee, Federal Reserve Chairman Kevin Warsh dismissed the recent Consumer Price Index data as merely "one data point." In unrelated news, Trump said he intends to increase military pressure on Iran until negotiations occur. Investors are also watching rising chip costs, which are feeding higher equipment prices across sectors.