Wall Street ends higher on revived AI momentum
SPY•U.S. stocks closed higher Tuesday, led by the Nasdaq, as AI-related shares rallied and third-quarter earnings reports continued. The S&P 500 rose 0.60%, the Nasdaq gained 1.18% and the Dow added 0.05%.
1. AI shares lead gains
An AI-fueled technology rally lifted U.S. stocks, with chip shares rising for a third consecutive session as attention turned to details of Anthropic’s impending initial public offering. New orders for computers and peripheral equipment also pointed to continued AI-related spending. Meta increased its largest-ever equity fundraising to $97.5 billion, and its shares fell.
2. Earnings and Fed meeting
Nearly half of S&P 500 companies had reported third-quarter results, with 83% beating expectations, according to available LSEG data. Boeing fell after a larger-than-expected quarterly loss, while United Parcel Service advanced after raising its annual revenue and profit forecasts. The Federal Reserve began a two-day policy meeting; the target rate was widely expected to remain at 3.75% to 4%.
3. Indexes close higher
The S&P 500 gained 46.28 points, or 0.60%, to 7,723.05, the Nasdaq Composite rose 309.69 points, or 1.18%, to 26,479.08, and the Dow Jones Industrial Average added 25.60 points, or 0.05%, to 52,387.18. Energy shares had the steepest decline among S&P 500 sectors as crude prices eased.
