S&P 500 and Nasdaq 100 Reach Record Highs on Earnings Optimism
The S&P 500 and Nasdaq 100 reached record highs on Tuesday, driven by strong investor optimism ahead of upcoming quarterly earnings reports. The S&P 500 closed 0.6% higher, while the Nasdaq 100 and Dow Jones Industrial Average each rose 0.5%. The gains were fueled by sharp increases in chipmakers and broader tech stocks, as well as a cooling in 10-year Treasury yields.
Marvell Technology Inc. (MRVL) shares surged 5.8% after the company announced higher long-term revenue targets during its Investor Day. Advanced Micro Devices (AMD) and Broadcom (AVGO) also saw gains of nearly 3% and 3.7%, respectively. However, the VanEck Semiconductor ETF (SMH) slipped 0.1%, partly due to weakness in Micron Technology (MU).
Key trending stocks included Constellation Energy (CEG), which led the Nasdaq 100 gains on news of a multi-year nuclear power deal with Google. Lucid Group (LCID) faced skepticism from BNP Paribas over its operational challenges and weak third-quarter deliveries. Meanwhile, Paramount Skydance Corp. completed its $110 billion acquisition of Warner Bros. Discovery Inc., marking one of the largest media mergers in history.
Investors are focusing on corporate outlooks and AI-driven growth, with oil prices remaining relatively stable. Brent crude settled at $100.58 per barrel. The market will now turn its attention to the Federal Reserve’s September meeting minutes, set to be released Wednesday, for further clarity on interest rate hikes.