S&P 500 and Nasdaq Composite New Highs Amid Rate Cut Hopes

Barry Adams
13 Aug, 2025
New York City

Wall Street indexes edged higher on Wednesday after setting new records in the previous session following the inflation report. 

The S&P 500 index inched higher 0.2%, and the tech-heavy Nasdaq Composite edged up 0.3% as investors looked forward to the release of the producer price inflation report on Thursday. 

Investors may be celebrating inflation victory prematurely after the annual consumer price inflation held steady at 2.7% in July. 

With more retailers and importers set to pass on price increases beginning this month, goods prices are set to rise, driven largely by the rise in prices for furniture, household goods, and home appliances. 

Investors are worried that the Trump administration's erratic trade policy could force importers to hold imports from China and Mexico until greater clarity on tariff rates emerges.

 

U.S. Stock Movers 

CAVA Group Inc. plunged 25% to $64.10 after the Mediterranean restaurant chain reported weaker-than-expected second-quarter revenue growth. 

The specialty restaurant company lowered its annual same-store sales growth outlook to between 4% and 6% from the previous range between 6% and 8% released on May 15. 

Revenue in the second quarter increased 20.3% to $278.2 million from $234.1 million, net income fell to $18.4 million from $19.7 million, and diluted earnings per share dropped to 16 cents from 17 cents a year ago. 

The revenue increase in the quarter was largely driven by new store openings, and the company plans to open between 68 and 70 in the current year. 

The company said the 2.1% increase in same-store sales was primarily driven by the price increases and product mix with "flat traffic."

CoreWeave Inc. declined 9% to $135.30 after the artificial intelligence infrastructure's mixed quarterly results fell short of market expectations. 

Consolidated revenue in the June quarter increased to $1.21 billion from $395 million, net loss decreased to $291 million from $323 million, and diluted losses per share declined to 60 cents from $1.62 a year ago.

The AI infrastructure company forecasts third-quarter revenue between $1.26 billion and $1.30 billion, compared to $1.21 billion, and adjusted operating income between $160 million and $190 million, compared to $200 million a quarter earlier, respectively.

The company guided full-year revenue between $5.15 billion and $5.35 billion and adjusted operating income between $800 million and $830 million a year earlier, respectively.

CoreWeave has announced a $4 billion expansion deal with OpenAI, building on the previously disclosed $11.9 billion agreement.

Hanesbrands Inc. decreased 27.9% to $5.70, and the T-shirt maker agreed to be acquired by Canada-based Gildan Activewear for $6.0 in share and stock. 

The deal estimated Hanesbrands' enterprise value at $4.4 billion.