US equities extended their advance on May 14 as investors continued to favor AI‑linked and guidance‑backed names, while also watching the opening day of the Trump‑Xi summit in Beijing for signs of policy stabilization (rather than assuming a concrete trade breakthrough). The S&P 500 closed +0.77% and the NASDAQ Composite +0.88%.
The macro backdrop remained constrained by a still‑hot April CPI report (released May 12): headline CPI +0.6% month‑over‑month (3.8% year‑over‑year), core CPI +0.4% m/m (2.8% y/y). Energy accounted for more than 40% of the monthly increase, while shelter rose 0.6%. Those inflation pressures kept long‑term bond yields elevated, creating a selective environment where forward visibility (guidance, backlog, near‑term catalysts) mattered more than pure macro beta.