Wall Street's bull case for stocks, AT&T CEO discusses fiber business and the economy

Market Overview - The market closed with mixed results, with the Dow down 0.5% or 220 points, while the NASDAQ composite and S&P 500 both reached record highs, gaining 0.06% and 0.3% respectively [2][3] - The technology sector saw significant gains, particularly with Oracle's stock rising 36%, contributing to a year-to-date increase of 97% [5][6] Sector Performance - The XLK technology ETF reached a record high for the first time in four weeks, driven by strong performance from Oracle [3] - Energy and utility sectors also performed well, each increasing by more than 1.5% [3] Company Highlights - Broadcom's market capitalization increased by over $100 billion, with its stock up 60% year-to-date [4] - Oracle's market cap is now approximately $230 billion, reflecting a substantial increase due to its stock performance [5] Investment Sentiment - Wall Street analysts are increasingly bullish, with Deutsche Bank raising its price target for the S&P 500 to 7,000 from 6,550, indicating confidence in continued market growth [6][7] - The ongoing capital expenditure (capex) spending, particularly in artificial intelligence, is seen as a key driver for the market rally [6][11] Economic Context - The S&P 500 is currently trading around 66,500, suggesting potential for further upside [7] - Concerns about inflation persist, with the Federal Reserve's inflation target being missed for over four years, leading to cautious expectations regarding interest rate adjustments [18][19] Corporate Strategy - AT&T is focusing on expanding its fiber network, aiming to reach 60 million households by the end of the decade, with a current reach of over 30 million [34][35] - The company is investing heavily in infrastructure, which is expected to improve cash flow characteristics significantly once completed [39][40] Future Outlook - Analysts suggest that the AI theme remains critical for U.S. equities, with a focus on technology and software sectors for investment [21][24] - The market is expected to continue its upward trajectory, driven by strong corporate earnings and strategic investments in technology [24][26]