NVIDIA Leads Gains Among Peers – US Market Wrap

The world’s largest technology companies drove stocks higher, with the market rebounding from its worst session in a month. A rout in Treasuries eased as bets on Federal Reserve rate cuts stabilized.

Equities closed within a striking distance of their all-time highs, with the S&P 500 up 1%. Chipmakers led gains on Tuesday as NVIDIA extended a five-day rally to 14%. The VIX dropped from its highest since August.

Traders also waded through remarks from US policymakers, with Fed’s Kugler saying the central bank should keep its focus on bringing inflation back to its 2% target, though with a “balanced approach” that avoids an “undesirable” slowdown in employment growth and economic expansion. While risks to inflation have come down, threats to the labor market have risen, though the economy is still strong, Fed’s Bostic noted.

The S&P 500 topped 5,750. Honeywell International Inc. gained on plans to spin off its advanced materials division. Energy stocks joined oil lower and US-listed Chinese stocks tumbled as Beijing stopped short of launching more major stimulus. Roblox dropped as Hindenburg Research said it’s betting against the gaming platform.

Treasury 10-year yields were little changed at 4.02%. A $58 billion sale of three-year Treasuries was soft. West Texas Intermediate crude fell 4.6% to $73.57 a barrel.