FX.co ★ Wall Street Closes Higher as AI Stocks Recover

The S&P 500 rose 0.4% and the Nasdaq gained 0.7% on Tuesday, while the Dow Jones Industrial Average fell 197 points, as a renewed wave of enthusiasm for artificial intelligence stocks drove gains on Wall Street. Chipmakers rebounded after a recent selloff sparked by worries over the scale of capital expenditures on AI. Nvidia climbed 2.3% after four straight sessions of losses, and AMD advanced 3.6% ahead of its quarterly earnings report due after the closing bell. Broadcom added 3.1%, and Micron rose 2.6%.

Major cloud and AI platform providers also moved higher, with Microsoft up 2.7%, Meta gaining 2.4%, and Oracle jumping 6%. In contrast, Apple shares fell 1.9% after the company cautioned that rising memory chip costs could squeeze profit margins in the holiday quarter. Palantir declined 1.6% amid signs of slowing growth in total contract value in its US commercial business.

Investors were also watching the US midterm elections. Polls suggested Democrats were favored to regain control of the House of Representatives, while the outcome in the Senate remained too close to call.