Chipmakers, Cruise Lines, Crypto Rally, Nvidia Reclaims $3 Trillion; Blue Chips, Small Caps Dip: What's Driving Markets Tuesday?
Tech stocks are poised to break a three-day losing streak on Tuesday, driven by a robust rally in chipmakers, with Nvidia Corp. (NASDAQ:NVDA) rising over 4% and reclaiming its $3-trillion valuation.
The VanEck Semiconductor ETF (NASDAQ:SMH) rose 1.8% after dropping over 7% in the last three sessions, indicating a resumption in risk sentiment toward artificial intelligence-related stocks.
The tech-heavy Nasdaq 100 advanced nearly 1%, outperforming other major indices.
Sentiment remains lackluster in non-tech sectors. The S&P 500 edged higher by only 0.1%, while the Dow Jones Industrial Average and the Russell 2000 fell 0.9% and 0.6%, respectively.
Treasury yields saw slight increases following hawkish comments from the Fed’s Michelle Bowman, who did not rule out further rate hikes if inflation improvements stall. The iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) dipped 0.2%, while a trade-weighted measure of the U.S. dollar gained 0.2%.
Commodities mostly declined, with gold and crude oil down 0.5% and 1%, respectively. Copper fell 1%, and silver dropped 2.2%.
Cryptocurrencies were the brightest spot in the market, rebounding after several days of losses. Bitcoin (CRYPTO: BTC) rose 2.3%, aiming for its strongest day in three weeks. The more speculative Dogecoin (CRYPTO: DOGE) surged nearly 7%, on track for its best performance in over a month.
Tuesday’s Performance In Major US Indices, ETFs
| Major Indices | Price | 1-day %chg |
| Nasdaq 100 | 19,653.25 | 0.9% |
| S&P 500 | 5,457.48 | 0.1% |
| Russell 2000 | 199.96 | -0.6% |
| Dow Jones | 39,050.92 | -0.9% |
According to Benzinga Pro data:
- The SPDR S&P 500 ETF Trust (NYSE:SPY) was 0.1% higher to $543.11.
- The SPDR Dow Jones Industrial Average (NYSE:DIA) was 1% lower to $390.11.
- The tech-heavy Invesco QQQ Trust (ARCA: QQQ) was 0.8% higher to $477.71.
- Sector-wise, the Technology Select Sector SPDR Fund (NYSE:XLK) outperformed, up by 1.4%, while the Real Estate Select Sector SPDR Fund (NYSE:XLRE) lagged, falling 1.7%.
Tuesday’s Stock Movers
- Carnival Corp. (NYSE:CCL) led gains within the S&P 500, jumping over 8% on better-than-expected earnings and marking its fifth consecutive positive session. This boost lifted peers Royal Caribbean Cruises Ltd. (NYSE:RCL) and Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) by 3.6% and 5.8%, respectively.
- Online travel agencies also saw gains, with Expedia Group Inc. (NASDAQ:EXPE), Airbnb Inc. (NASDAQ:ABNB) and Booking Holdings Inc. (NYSE:BKNG) rising 1.8%, 1.6% and 0.6%, respectively.
- Crypto-linked stocks rallied in reactions to the Bitcoin rebound. Marathon Digital Holdings Inc. (NASDAQ:MARA) and Coinbase Global Inc. (NASDAQ:COIN) rose 3.6% and 4.3% respectively.
- Arm Holdings plc (NASDAQ:ARM) soared 5% after Guggenheim raised its price target on the chipmaker from $110 to $169.
- TD Synnex Corp. (NYSE:SNX) tumbled nearly 9% after missing both earnings and revenue estimates last quarter.
- SolarEdge Technologies Inc. (NASDAQ:SEDG) plummeted over 20% after some analysts negatively reacted after the company's announcement of a private offering of $300 million in convertible notes.
Read now: US Election And Tariff Prospects Set To Threaten Internationally-Exposed Stocks, Goldman Sachs Warns
Photo via Shutterstock.