NEW YORK, Oct. 6 (Xinhua) -- U.S. stocks ended higher on Tuesday, buoyed by continued strength across the AI sector and a modest retreat in U.S. Treasury yields from multi-decade highs.
The S&P 500 hit both an intraday high and a record closing high while Nasdaq posted a second consecutive record high on Tuesday.
The Dow Jones Industrial Average rose 253.38 points, or 0.49 percent, to 51,521.28. The benchmark S&P 500 added 44.98 points, or 0.58 percent, to 7,818.93, while the tech-heavy Nasdaq Composite Index climbed 122.48 points, or 0.45 percent, to finish at 27,599.79.
Ten of the 11 primary S&P 500 sectors closed in positive territory, with utilities and consumer discretionary leading the advancers by jumping 3.01 percent and 1.39 percent, respectively. Bucking the broad market advance, healthcare was the sole declining sector, slipping 0.16 percent.
Fixed-income pressures eased slightly during Tuesday's session. The yield on the benchmark 10-year U.S. Treasury note declined to a daily low of 5.28 percent, while the 30-year Treasury bond yield hovered near 5.65 percent, remaining close to levels not seen since 2002.
Technology equities provided steady upward momentum following upbeat commentary from industry leadership. Advanced Micro Devices (AMD) CEO Lisa Su emphasized that global computing demand continues to outpace available supply, reinforcing optimism generated by solid financial results from major contract manufacturer and Nvidia supplier Foxconn.
Shares of AMD rose 2.8 percent after setting a fresh intraday record, supported by Citigroup increasing its price target to a Wall Street-high of 800 U.S. dollars. Meanwhile, market attention centered on semiconductor heavyweight Nvidia as its market capitalization approached the 6-trillion-dollar milestone.
Despite the gains, analysts noted that Wall Street remains watchful of the market's heavy reliance on mega-cap tech leadership against a backdrop of historically elevated sovereign yields. "The breadth of the rally has narrowed," wrote Ulrike Hoffmann-Burchardi, global head of equities at UBS.
"We retain strong conviction in the AI growth story, and believe AI-related investment remains a powerful tailwind for the broader equity market," Hoffmann-Burchardi said. "But the increasing concentration of market gains reinforces the importance of managing risk through a broadly diversified equity portfolio."
In other corporate developments, the newly consolidated entertainment company Skydance dropped 2.51 percent in its trading debut under the ticker symbol SKYD following the formal closing of its merger with Warner Bros. Discovery.
Financial markets are now turning their focus to the release of the Federal Reserve's September meeting minutes on Wednesday.
