US stocks rebound as chip shares lift Nasdaq 100
US stocks rise on Tuesday, with the S&P 500 and Dow up 0.5% and the Nasdaq 100 up 0.6%, while tech and AI-infrastructure names rebound as Treasury yields soften.
US stocks were higher on Tuesday, trimming losses from the previous session amid a rebound for chip producers and softer Treasury yields.
The S&P 500, and the Dow were 0.5% higher, while tech lifted the Nasdaq 100 to a 0.6% gain.
Companies with exposure to AI infrastructure rebounded from their aggressive losses last session as markets grappled with uncertainty in the sector.
The likelihood of massive IPOs for hyperscalers that invest on infrastructure, including Anthropic and OpenAI, weighed against skepticism that AI demand will be strong enough in the near-term to justify the magnitude of capital expenditure.
Also, Nvidia inched higher ahead of its earnings tomorrow.
Broader sectors also gained as long-term Treasuries rebounded from their recent selloffs.
US Secretary Treasury Bessent threatened to sanction banks and companies that intermediate trade with Iran, but energy price still eased after Iran responded to threats.
GE Vernova and Veritiv rose more than 2%.