US stock market today: Wall Street extended its gains on Tuesday, supported by another strong rally in shares of chipmakers and other companies that have benefited from the artificial intelligence boom. Artificial intelligence-related stocks remained the primary drivers of the market, building on the previous session’s recovery after suffering sharp declines last week.The S&P 500 advanced 0.5%, while the Dow Jones Industrial Average was up 219 points, or 0.4%. The Nasdaq Composite outperformed, rising 0.8%.Following a prolonged surge fuelled by heavy investment in AI chips and data centres, these stocks have faced selling pressure in recent weeks amid concerns that valuations had become stretched. Investors are also questioning whether the current pace of AI-related spending can be sustained if the technology does not generate the anticipated improvements in profitability and productivity, according to an AP report.Micron Technology climbed 7.8%, adding to Monday’s 1.9% gain after having fallen 13.3% during the previous week.Nvidia rose 1.5% after revealing that it holds a 9.3% stake in Nebius, a Dutch artificial intelligence cloud company. Along with Micron, Nvidia provided the biggest boost to the S&P 500.
Brent crude goes above $90
The advance in equities came despite another increase in oil prices. Brent crude climbed above $90 a barrel as hostilities between the United States and Iran continued. The global benchmark rose 1.9% to $90.92 a barrel, compared with levels below $72 earlier this month, roughly where it had been before the Iran conflict began.The continued rise in crude prices has renewed concerns that inflation could accelerate again after showing signs of easing more quickly than economists had anticipated. Such a development could prompt the Federal Reserve and other central banks to raise interest rates further, a move that would weigh on economic growth and put pressure on stock prices and other asset classes.The yield on the benchmark 10-year US Treasury note edged up to 4.62% from 4.60% at Monday’s close. Before the outbreak of the Iran conflict, the yield had stood at 3.97%.On Wall Street, a series of better-than-expected quarterly earnings from major US companies helped lift equities despite the headwinds created by rising oil prices and higher bond yields.Shares of 3M surged 8.7% after the industrial conglomerate reported quarterly profit and revenue that exceeded analysts’ estimates. The company also upgraded its full-year 2026 profit outlook.European markets were mixed, with most benchmarks posting only modest moves. In the UK, the FTSE 100 advanced 0.2% as newly appointed Prime Minister Andy Burnham chaired his first Cabinet meeting.Asian equities recorded larger swings. South Korea’s Kospi climbed 3.6%, driven by strong gains in Samsung Electronics and SK Hynix, two companies that have benefited significantly from the AI boom. Although the Kospi has declined 20% during July, it remains up 60% for the year so far.Japan’s Nikkei 225 rose 3.3% after reopening following Monday’s holiday. Shanghai’s benchmark index gained 1.8%, while Hong Kong’s market slipped marginally, ending less than 0.1% lower.
