New York — Stocks climbed on Thursday as traders reacted to better-than-expected inflation figures, signaling potential easing in economic pressures. The gains came after the release of the delayed consumer price index for November, which indicated an annual inflation rate of 2.7%, lower than forecasts.

The Dow Jones Industrial Average rose by 209 points, or 0.4%, while the S&P 500 experienced a 0.8% increase. The Nasdaq Composite outperformed, advancing 1.1%. Analysts noted that the performance in the tech-heavy index was largely buoyed by the resurgence of key semiconductor firm Micron Technology.

Micron’s shares surged nearly 9% after the company exceeded expectations in its fiscal first-quarter earnings and issued a promising revenue outlook. This resurgence may revive interest in artificial intelligence ventures, which have recently faced headwinds.

The inflation report, which marked the first public release after the U.S. government shutdown, showed a core CPI rate of 2.6%. Economist predictions had been more pessimistic, with expectations of 3.1% for the headline measure and 3% for the core. Although this report lacked the typical month-over-month comparisons, economists speculated that it might not drastically influence long-term inflation trends.

The Bureau of Labor Statistics delayed the report due to the shutdown, causing the absence of crucial data from October. Despite this, the initial jobless claims reported were also below expectations, contributing to the market’s positive response.

“Investors are taking note of the combination of Federal Reserve easing and resilient economic growth, along with advancements in technology, indicating a supportive environment for equities,” remarked Ulrike Hoffmann-Burchardi, an investment officer at UBS Global Wealth Management.

This uptick came in stark contrast to a rough trading session earlier in the week, which saw leading tech stocks, particularly in the semiconductor sector, endure significant losses. The S&P 500 had registered its fourth consecutive day of decline, while the Dow and Nasdaq also struggled.

Oracle struggled in trading, declining over 5% following reports of a major investor withdrawing from its substantial data center investment in Michigan. Concerns about the capital expenses associated with extensive data center projects fueled an overall sell-off among semiconductor stocks, including significant declines from Broadcom, Nvidia, and Advanced Micro Devices.

Even with the recent market fluctuations, the technology sector is poised to close out the year on a positive note, with a projected gain of about 20% for 2025. While the current rotation away from tech stocks raises questions, many investors remain cautiously optimistic about long-term growth.