S&P 500, Nasdaq open higher supported by a rebound in Nvidia shares

A rebound in Nvidia shares led the S&P 500 and Nasdaq Composite as they rose Tuesday, after a day of heavy selling in the chipmaking giant.

According to CNBC, the Standard & Poor’s 500 index rose by 0.1%, while the Nasdaq index advanced by 0.5%. The Dow Jones Industrial Average trailed, losing 51 points, or 0.1%.

Shares of chip maker Nvidia rose more than 2%. In the previous session, the stock fell by more than 6%, recording its largest one-day drop since April 19, when it lost 10%.

The recent decline pushed the AI ​​deeper into correction territory, or more than 13% of its intraday record. Other semiconductor stocks were also under pressure Monday, including Super Micro Computer

Nvidia’s losses pushed the Nasdaq index down more than 1% on Monday, its biggest single-day loss since April. The Nasdaq 100 also suffered its worst day since April as investors turned away from chipmakers.

This shift between markets boosted the Dow Jones Index by more than 200 points, making it the only US stock index to achieve gains in the previous session.

The US Conference Board reported on Tuesday that consumer confidence declined in June, as did their expectations for business conditions in the near term.

The Board Confidence Index fell to 100.4, just below 101.3 in May, but slightly better than the Dow Jones estimate of 100. The Current Situation Index rose slightly to 141.5 while the Expectations Index fell to 73.

This data comes at a time when Fed members are showing a tendency to keep interest rates high for a longer period, and Bowman said that we need a tight policy for some time to eliminate high inflation.

The S&P 500 and Nasdaq Composite started Tuesday’s trading session in the green.

The broad market index rose 0.2%, while the Nasdaq index, which is dominated by technology stocks, added 0.5%.

Meanwhile, the Dow Jones Industrial Average fell 60 points, or 0.2%.