Tech and AI Sectors Lead Market Gains as S&P 500 and Nasdaq Hit Records
The technology and AI sectors led the market on Tuesday, with major chipmakers gaining ground amid growing optimism. Marvell Technology shares climbed nearly 6% after the company raised its long-term revenue outlook during an Investor Day event. Advanced Micro Devices (AMD) jumped 3% following a price target increase from Citi, which raised its target to $800 from $575 and maintained a ‘Buy’ rating, citing gains from personal AI agents. Broadcom and Nvidia also saw gains, with Nvidia reaching a record high and accounting for 5.21% of the MSCI All Country World Index (ACWI), surpassing Japan’s 5.16% weight.
Meanwhile, Google and Constellation Energy announced a 20-year deal to add 890 MW of nuclear capacity to the PJM grid, backed by $4.3 billion in new investment. This deal boosted nuclear stocks and sparked optimism in the nuclear energy sector. Van Eek Funds CEO Jan van Eck suggested that the Constellation deal might signal a bottom for the struggling nuclear energy trade.
U.S. stock futures were mixed late Tuesday night after the S&P 500 and Nasdaq hit fresh highs during regular trading. The S&P 500 led the gains, closing 0.58% higher, while the Dow Jones Industrial Average rose 0.49% and the Nasdaq Composite gained 0.45%. Treasury yields slid slightly, with the 10-year yield at 5.307% and the 30-year yield at 5.681%. President Donald Trump commented on the U.S. conflict with Iran, hinting at a potential resolution. Oil prices continued to trade above $100 a barrel, with Brent crude at $101.54 and WTI crude at $90.35.
Key stocks to watch include SpaceX, which fell 2% after seeking $40 billion in financing for Nvidia chip purchases. Netlist shares surged 18% after Micron agreed to pay $600 million to license its patents and end their court battle. Penguin Solutions shares rose over 6% after reporting record fiscal Q4 2026 results, with sales up 68% year-over-year. Western Digital shares plunged nearly 7% after reports that Seagate is competing with Toshiba to buy TDK’s hard-drive magnetic heads business.