FX.co ★ US Stocks Advance on Chipmaker Rally

US equities finished higher on Tuesday, led by a strong rebound in semiconductor stocks. The S&P 500 rose 0.9%, the Nasdaq 100 advanced 1.9%, and the Dow Jones Industrial Average added 385 points. Chipmakers extended their recovery from last week’s sharp sell-off after robust export data from Taiwan and South Korea bolstered confidence in the sector’s outlook. Nvidia gained 2% after indicating its latest chip designs are now reaching customers, while Intel jumped 8.6% on announced job-cut plans. Micron climbed 12.2%, Sandisk soared 14.3%, and AMD advanced 8.1%. The sector’s rally came ahead of Alphabet’s earnings on Wednesday, with investors looking to the results for fresh insight into AI infrastructure spending by hyperscale cloud providers.

Beyond technology, most sectors held steady despite further tensions between the US and Iran and a resulting increase in oil prices. Elevated Treasury yields continued to cap advances in financial shares. Elsewhere in corporate news, General Motors gained 4.9% after reporting earnings, while Charles Schwab declined 2.5% following a results miss.