US STOCKSTesla Lifts Nasdaq to RecordHigh Close

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June 23 Reuters The Nasdaq climbed to a recordhigh close on Wednesday, fueled by a rally in Tesla Inc, with investors cheering data that showed a record peak for U.S. factory activity in June.

Gains in Nvidia Corp and Facebook Inc extended a recent rebound in topshelf growth stocks that fell out of favor in recent months as investors focused on companies expected to do well as the economy recovers from the pandemic.

Data firm IHS Markit said its flash U.S. manufacturing Purchasing Managers Index rose to a reading of 62.6 this month, beating estimates of 61.5, but manufacturers are still struggling to secure raw materials and qualified workers, substantially raising prices.

The high level of todays surveys will provide some confirmation for the Fed that the time to begin taking its foot off the accelerator is not far away, said Jai Malhi, global market strategist at J.P. Morgan Asset Management.

On Tuesday, Fed Chair Jerome Powell reaffirmed the central banks intent not to raise interest rates too quickly, based only on the fear of coming inflation.

Powells comments follow the Feds projection a week ago of an increase in interest rates as soon as 2023, sooner than anticipated. Since then, growth stocks, including major tech names like Tesla and Nvidia, have mostly rallied and outperformed value stocks, like banks and materials…

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