United States stock markets ended mixed on Tuesday (Wednesday AEST), with the Nasdaq and S&P 500 advancing while the Dow Jones Industrial Average retreated, weighed by a sharp decline in UnitedHealth shares.
The Dow fell 269.7 points or 0.6% to 42,140.4, as UnitedHealth plunged 17.8%, dragging the index lower. In contrast, the S&P 500 rose 42.3 points or 0.7% to close at 5,886.6, while the Nasdaq Composite jumped 301.7 points or 1.6% to finish at 19,010.1, driven by strength in technology shares.
Nvidia led gains in the tech sector, rising 5.6% following news that it will supply 18,000 of its most advanced artificial intelligence chips to Saudi Arabia.
The positive momentum spilled over to other semiconductor stocks, with Broadcom advancing 4.9% and AMD climbing 4%.
Tuesday’s rally pushed the S&P 500 into positive territory for the year, now up roughly 0.1% in 2025. The index had previously fallen as much as 17% year-to-date due to persistent concerns over trade relations between Washington and Beijing.
However, markets rebounded after the two countries agreed to a pause in tariff actions, sparking a more than 1,000-point surge in the Dow on Monday.
Adding to the bullish tone was a softer-than-expected inflation report. The U.S. consumer price index (CPI) rose 2.3% year-over-year in April, below economists' expectations of a 2.4% increase.
On the bond markets, 10-year and 2-year rates were steady at 4.471% and 4.002%, respectively.
