U.S. stocks were largely steady on Tuesday, with AI chipmaker Nvidia ( NVDA ) expecting a tentative comeback after a three-day slump as investors put their portfolios in order ahead of the end of the quarter.
The tech-heavy Nasdaq Composite (^IXIC) rose about 0.5%, while the benchmark S&P 500 (^GSPC) rose 0.2%. The Dow Jones Industrial Average (^DJI) remained the only major index in the red, falling about 0.2% after rising more than 200 points to start the week.
Stocks are looking rosier after the Nasdaq and S&P 500 were bruised as Nvidia’s decline dented the tech rally that has fueled gains this year. Investors are eyeing gains from AI-related names as a stellar quarter comes to an end, raising questions about whether recent losses have further to go.
Shares in AI Darling rose more than 2% in early trading, after falling more than 6% on Monday.
At the same time, the Dow Jones appears to be finding its feet amid the shift from technology to value stocks, lending weight to the idea of a broadening of profits into other sectors.
Elsewhere, Friday’s update to the Personal Consumption Expenditures (PCE) index, a favorite inflation input for the Federal Reserve, is awaited. Governor Michelle Bowman emphasized Tuesday that she is willing to raise interest rates if holding them does not manage to control price pressures.
On the economic front, home prices reached a new record in April, although annual growth slowed from the previous month, according to the S&P CoreLogic Case-Shiller report.
Meanwhile, a consumer confidence reading due later this morning will also be closely watched by investors looking for cracks in previous resilience.