Wall Street posted a broad-based gain Tuesday as investors cheered a strong wave of earnings reports, with Big Tech leading the charge. The S&P 500 climbed 0.87% to close at 5,482, while the Nasdaq surged 1.24% — its best single-day performance in nearly two weeks — as technology and communication services stocks dominated the tape.
Alphabet was the undisputed star of the session, rallying over 5% after its Q1 results blew past Wall Street estimates. Google Cloud revenue growth reaccelerated to 29% year-over-year, easing fears that AI infrastructure spending wasn't translating into real business gains. The surprise dividend hike added fuel to the fire, signaling management confidence in cash flow generation.
Not every corner of the market shared in the celebration. UPS fell nearly 5% after management slashed its 2026 revenue outlook, pointing to softening parcel volumes and margin pressure from ongoing tariff-related disruptions to global trade flows. The logistics giant's warning served as a reminder that macro headwinds haven't fully cleared.
Gold held near all-time highs above $3,285 an ounce as investors balanced equity optimism against lingering geopolitical uncertainty. Oil slipped to $63.80 a barrel amid demand concerns. The VIX eased to 22.4, suggesting the market's fear gauge is slowly retreating from its recent elevated levels.