On Tuesday, the Dow Jones Industrial Average climbed 1.1%, while the S&P 500 increased by 0.8%, both reaching new record highs. The Nasdaq 100 also rose by 1.1%. This upward trend was propelled by ongoing expectations for multiple interest rate cuts by the Federal Reserve, which bolstered projections for earnings growth. Within the semiconductor industry, companies such as Micron, Texas Instruments, Analog Devices, and NXP experienced significant gains, with their stocks rising between 5.6% and 10% as investors renewed their interest in chip suppliers. The healthcare sector saw a recovery as well, with Eli Lilly and UnitedHealth registering gains of 2.2% and 2%, respectively.
Market sentiment largely shrugged off the impact of the United States capturing Venezuela's leader, viewing it as unlikely to cause a sustained regional disturbance, despite its effects on energy market strategies. Chevron, perceived as a primary beneficiary of renewed U.S. access to Venezuelan resources, initially gained but then reversed, dropping 4.5%. Meanwhile, refiners with Gulf Coast heavy crude operations, such as Phillips 66, Valero, and Marathon Petroleum, saw their shares decline by more than 1%.
