US stocks reversed earlier losses to finish mostly higher on Thursday, as a pullback in oil prices eased inflation concerns and helped counter a sharp rotation out of semiconductor shares following Broadcom’s results. The S&P 500 advanced 0.4%, while the Dow surged more than 900 points to close at a new record high.
In geopolitics, Israel and Lebanon agreed to a ceasefire despite repeated clashes, a development that investors see as potentially opening the door to a broader US–Iran peace accord. The easing of regional tensions pushed oil prices and bond yields lower.
Financials rallied on the move in yields, with major banks and asset managers rebounding strongly. JPMorgan, Wells Fargo, and Morgan Stanley each gained about 4%, while Blackstone jumped 8% even as it imposed limits on redemptions from its private credit products.
By contrast, the Nasdaq 100 slipped 0.5% as renewed selling hit semiconductor stocks, a group that has been a key driver of equity gains this year. Broadcom tumbled 15% despite topping earnings estimates, after its outlook for AI chip revenue came in below most forecasts. Micron and AMD each dropped more than 4%, and CrowdStrike also fell 6% following its earnings release.