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flag U.S. stocks hit record highs Friday as gains in energy, financials, and industrials offset tech's pullback, fueled by inflation optimism and expected 2026 rate cuts.

flag U.S. stocks closed at record highs on Friday, driven by broad market strength as investors rotated out of technology stocks despite ongoing concerns about the AI-driven tech sector's recent pullback. flag The S&P 500 and Nasdaq both reached new peaks, with gains in energy, financials, and industrials offsetting tech's decline. flag Market participants cited optimism over inflation trends and potential Federal Reserve rate cuts in 2026.

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