S&P 500 And Nasdaq 100 Soar To Record Highs Amid Rising Bets Of Strong Quarterly Earnings — CEG, LCID, SPCX, MRVL In Focus

• The S&P 500 ended Tuesday 0.6% higher, the Nasdaq 100 rose 0.5%, and the Dow Jones Industrial Average added 0.5%.
• 10–year Treasury yields cooled. 
• Paramount Skydance Corp. closed its $110 billion acquisition of Warner Bros. Discovery Inc. 

U.S. stock indices ended higher on Tuesday, tracking sharp gains in chipmakers and broader technology stocks, along with calmer Treasury yields, as preliminary earnings updates aided investor sentiment.  

For instance, Marvell Technology Inc. (MRVL) shares jumped after the chipmaker laid out sharply higher long-term revenue targets at its Investor Day.

The S&P 500 ended Tuesday 0.6% higher, the Nasdaq 100 rose 0.5%, and the Dow Jones Industrial Average added 0.5%. The Russell 2000, which tracks small-cap stocks, lost 0.6%.

The SPDR S&P 500 ETF (SPY) rose 0.6%, the SPDR Dow Jones Industrial Average ETF (DIA) rose 0.5%, and the Nasdaq-100 tracking Invesco QQQ Trust (QQQ) added 0.5%. 

Meanwhile, the VanEck Semiconductor ETF (SMH) slipped 0.1%, and the iShares Semiconductor ETF (SOXX) added 0.1%, tracking gains in Nvidia (NVDA), Broadcom (AVGO) and Advanced Micro Devices (AMD), while weakness in Micron Tech (MU) limited gains. The broader Vanguard Information Technology ETF (VGT) added about 0.7%.

Retail sentiment on Stocktwits for QQQ, SPY, and DIA was ‘bullish’ with ‘high’ message volumes.

US Market Drivers

Shares of Marvell Technology surged 5.8% while Advanced Micro Devices advanced almost 3% on rising market optimism around corporate outlooks, alongside a 3.7% gain in Broadcom.

“Everyone’s like markets are up. AI is the place to be,” Stephen Kolano, chief investment officer at Integrated Financial Partners, told CNBC. Investors are “looking through the inflation concerns right now, especially as it relates to oil, diesel, etc. It’s like ‘Okay, that’s something that potentially gets resolved in the future.’”

Oil prices ended the day little changed. Brent crude traded 0.26% higher to settle at $100.58 per barrel. 

Meanwhile, 10-year Treasury yields pulled back from multi-decade peaks ahead of Wednesday’s release of the Federal Reserve’s September meeting minutes, which investors will scrutinize for further clarity on interest rate hikes.

Key Trending Stocks

Constellation Energy (CEG) was the top Nasdaq 100 gainer on its multi-year nuclear power deal with Google. 

 EV maker Lucid Group (LCID) faces a “long and difficult journey” to fix operations and lift demand, BNP Paribas said on Tuesday, after a weak third-quarter delivery report that fell below Wall Street estimates, unlike peers Rivian and Tesla. 

Paramount Skydance Corp. closed its $110 billion acquisition of Warner Bros. Discovery Inc., completing one of the biggest media mergers of all time  

SpaceX (SPCX) shares climbed to their highest level since June after rallying about 20% since Thursday, but Goldman Sachs believes there is still room for more upside. 

Meta Platforms Inc. (META) drew a higher price target from Wells Fargo on Tuesday, with analyst Ken Gawrelski lifting his target to $1,000 from $796 while maintaining an ‘Overweight’ rating. 

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