The index narrowly achieved another fresh record close on Tuesday, as market participants assessed the latest earnings reports and new trade developments. The broad market index experienced a modest increase of 0.06%, concluding at 6,309.62, thereby achieving its 11th record close in 2025. The 30-stock Dow Jones Industrial Average experienced an increase of 179.37 points, translating to a rise of 0.40%, ultimately concluding at 44,502.44. In contrast, the Nasdaq Composite experienced a decline of 0.39%, closing at 20,892.69, hindered by downturns in technology equities. The tech-heavy index experienced its inaugural negative performance in seven sessions.

Chip stocks experienced downward pressure, as negative sentiment in the sector was exacerbated by a report from The Wall Street Journal indicating that SoftBank and OpenAI’s $500 billion AI project has encountered challenges in its initiation and has reduced its short-term objectives. Broadcom experienced a decline of over 3%, while the highly regarded Nvidia in the artificial intelligence sector saw a reduction exceeding 2%. Taiwan Semiconductor Manufacturing experienced a decline of nearly 2%. Meanwhile, the stock of aerospace and defense company Lockheed Martin experienced a decline of nearly 11% following the announcement that its revenue for the second quarter fell short of analyst expectations. In a similar vein, Philip Morris experienced an 8% decline following the shortfall in the tobacco company’s second-quarter revenue.

Nonetheless, those declines were counterbalanced by advancements in the wider market beyond the technology sector. The health-care sector attracted significant investor interest, demonstrating a robust performance with an increase of nearly 2% for the day. The advance of IQVIA was significant, soaring almost 18% following an earnings and revenue beat, which contributed to its leadership in the S&P 500. This performance was complemented by other notable companies such as Amgen and Merck. Small caps demonstrated superior performance, with a notable increase of 0.8%.

This development occurs as nearly 90 companies within the S&P 500 have disclosed their earnings, with approximately 85% of these exceeding analysts’ projections, as per FactSet data. Attention is focused on corporate commentary regarding macroeconomic stability, the effects of tariffs, and insights into demand and expenditure associated with AI.

Google parent Alphabet and Tesla will report Wednesday, marking the commencement of eagerly awaited results from the “Magnificent Seven” companies. The large-cap technology firms are anticipated to play a substantial role in driving earnings growth during this season. In light of the recent rally in equities, market participants are closely monitoring the potential for further upward movement from this point. “This market’s pretty stalled out,” stated Jay Hatfield, CEO at Infrastructure Capital Advisors, in an interview with CNBC. His 6,600 year-end target on the index suggests an anticipated increase of nearly 5% from Tuesday’s closing value. “We are going to need to have very strong tech earnings to propel the market much higher.”

Market participants evaluated the most recent developments regarding tariffs, as Treasury Secretary Scott Bessent indicated that the United States is likely to prolong the deadline for negotiating an agreement with China. Bessent indicated that he intends to engage with Chinese officials in Stockholm next week. President Donald Trump stated later Tuesday that the U.S. has “concluded” a trade deal with the Philippines, which incorporates a 19% tariff on imported goods from the Southeast Asian nation. The Philippines has yet to provide confirmation regarding the completion of the deal.