Nasdaq Rises 1.2% as Tech Stocks Extend Recovery on AI Optimism

The Nasdaq Composite jumped 308.43 points, or 1.2%, to 26,477.60 on Tuesday, leading U.S. indexes higher as technology shares extended a rebound from last Friday's two-month closing low. The S&P 500 climbed 45.83 points, or 0.6%, to 7,722.60, while the Dow inched up 15.99 points, or less than a tenth of a percent, to 52,377.57. Tech stocks rallied on renewed optimism around the artificial intelligence trade after Anthropic publicly filed for an initial public offering on Monday. Nvidia (NVDA) said it will invest $3 billion in Meta (META) as part of the Facebook parent's plan to raise up to $95 billion through equity financing; the two companies will expand work on the Muse family of models. Broadcom (AVGO) rose 3.8% after Bank of America, Blackstone, Citi and Morgan Stanley announced a $63 billion transaction to deploy AI compute capacity using the chipmaker's technology for Anthropic. JetBlue (JBLU) soared 19.8% after forecasting fourth-quarter margin expansion despite a wider-than-expected loss, and UPS (UPS) gained 6.5% on beats-and-raise results. Boeing (BA) tumbled 10.7% on a wider-than-expected loss, capping Dow gains.