(Reuters) -The Dow and the S&P 500 hit record highs on Friday and were set for a second week of gains, as Walt Disney and tech-related shares rose, with the market sentiment getting a boost from easing inflation worries and a recovery in corporate earnings.

FILE PHOTO: People walk by the New York Stock Exchange (NYSE) in Manhattan, New York City, U.S., August 9, 2021. REUTERS/Andrew Kelly

Mega-cap growth names, including Microsoft Corp, Netflix Inc, Advanced Micro Devices Inc and healthcare stocks Pfizer Inc and Amgen Inc, were the biggest drivers of the indexes.

The Nasdaq, however, was trading flat, weighed down by heavyweights Apple Inc, Amazon.com and Tesla Inc.

Walt Disney jumped 2% after its profit topped market expectations as its streaming services added more customers than expected and pandemic-hit U.S. theme parks returned to profitability.

U.S. stocks have touched new highs over the past few sessions as investor confidence in economic recovery was bolstered by a stellar earnings season, favorable economic data and the passage of a large infrastructure bill.

However, the upbeat mood was dented by a survey that showed consumer sentiment dropped in early August to its lowest level in a decade, setting off a rally in defensive stocks.

“I don’t think that that’s a deal breaker. I just think it (consumer sentiment) has moderated enthusiasm today after having a pretty darn good week of moderate gains,” said Art Hogan, chief market strategist at National Securities in New York.

Seven of the 11 major S&P sectors advanced, with consumer staples, utilities and real estate among the top gainers.

Investors are now looking ahead to the meeting of central bankers in Jackson Hole, Wyoming, later this month for cues on policy after data that showed consumer price increases slowed in July, while producer prices posted their biggest annual rise in more than a decade.

“We’re going from what had been a very catalyst-heavy period over the last few weeks to a catalyst light period… expect to see the market grind sideways, perhaps slightly higher as we look ahead to what the Federal Reserve might deliver at Jackson Hole,” Hogan said.

At 12:30 p.m. ET, the Dow Jones Industrial Average was up 30.85 points, or 0.09%, at 35,530.70, the S&P 500 was up 3.35 points, or 0.08%, at 4,464.18, and the Nasdaq Composite was up 0.98 points, or 0.01%, at 14,817.24.

The Dow and the S&P 500 have risen 0.9% and 0.6%, respectively, so far this week, on gains in economically sensitive stocks.

DoorDash Inc fell 1.6% after the food-delivery firm’s loss widened more than expected in the second quarter.

Airbnb Inc slipped 0.9% after it flagged a hit to its current-quarter bookings by the Delta variant and a slowing pace of U.S. vaccination.

Advancing issues outnumbered decliners by a 1.08-to-1 ratio on the NYSE. Declining issues outnumbered advancers for a 1.61-to-1 ratio on the Nasdaq.

The S&P index recorded 50 new 52-week highs and no new low, while the Nasdaq recorded 70 new highs and 116 new lows.

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