The key facts

  • Dow +1.02% to 52,495.88; S&P 500 +0.28% to 7,712.57; Nasdaq −0.02% to 26,424.82
  • 3M (+5.7%) and Northrop Grumman (+4.5%) rose after earnings beat expectations
  • Stoxx Europe 600 −0.92% amid protests in France and their spread across Europe

Mixed outcome on Wall Street

US stock indices closed mixed on Tuesday: strong corporate earnings and falling oil prices supported sentiment, while concerns over artificial intelligence spending weighed on technology stocks. The Dow Jones Industrial Average rose 529.85 points, or 1.02%, to 52,495.88. The S&P 500 added 21.84 points, or 0.28%, to 7,712.57. The Nasdaq composite fell 6.07 points, or 0.02%, to 26,424.82.

Earnings and oil

The market was supported by strong results from industrial and defense companies. Shares of 3M jumped more than 5.7% after a better-than-expected report and an upgraded full-year forecast. Northrop Grumman shares rose more than 4.5% — the aerospace and defense company's profit also beat forecasts. Oil fell as developments in the Middle East were being watched: WTI futures dropped 1.8% to $101.79, and Brent fell 0.7% to $108.79 per barrel. The yield on 10-year US Treasury bonds fell about 2 basis points to 5.115%.

AI concerns persist

Concerns persisted over large-scale borrowing to finance AI infrastructure and whether future demand would justify these expenses. Meanwhile, a number of AI-focused stocks rose during trading: Western Digital gained more than 3.4%, Seagate Technology more than 2%, and CoreWeave and Marvell Technology more than 1% each. Investors are awaiting earnings from major technology companies to assess the return on AI investments, data center spending, and capital expenditure plans for 2027.

Europe under pressure from protests

European indices closed lower: escalating protests in France and their spread to other European countries weakened investor sentiment. The Stoxx Europe 600 index fell 0.92% to 638.64. France's CAC 40 lost 0.38% to 7,838.49, and Germany's DAX fell 0.06% to 25,304.42. Britain's FTSE 100 declined 0.29% to 10,733, and Italy's FTSE MIB fell 0.03% to 49,071.37.