FX.co ★ US Stocks Rebound on Tuesday

US stocks advanced on Tuesday, clawing back some of the prior session’s losses amid a rebound in chipmakers and easing Treasury yields. The S&P 500 and the Dow each rose 0.5%, while strength in technology shares helped lift the Nasdaq 100 by 0.6%.

Companies tied to AI infrastructure bounced after sharp declines in the previous session, as investors continued to wrestle with uncertainty surrounding the sector. Expectations for major IPOs by hyperscalers focused on infrastructure investment—such as Anthropic and OpenAI—are colliding with doubts that near-term AI demand will be strong enough to justify the scale of current capital spending.

Nvidia edged higher ahead of its earnings release tomorrow. Gains were not limited to technology: broader sectors also moved up as long-dated Treasuries rebounded from recent selloffs.

US Treasury Secretary Bessent warned that banks and companies facilitating trade with Iran could face sanctions. Even so, energy prices eased after Iran issued its response to those threats. Among individual names, GE Vernova and Veritiv each gained more than 2%.