Stocks nudged higher on Tuesday as investors remained comfortable with the idea that the Federal Reserve has little reason to move rates in either direction before late summer. The S&P 500 added 0.4%, the Nasdaq led gains at 0.6%, and the Dow tacked on about 0.3% — a quiet but constructive session with no major macro surprises to rattle the tape.
Nvidia was the clear standout of the day, jumping over 3% on news that a prominent sovereign wealth fund had quietly built a new stake in the chipmaker. With AI infrastructure spending showing no signs of slowing, investors treated the disclosure as fresh validation of the long-term demand story. The broader semiconductor space followed NVDA higher, with the SOX index gaining nearly 1.5%.
On the losing end, CVS Health was the session's notable casualty. The company revised its full-year profit outlook downward, pointing to elevated medical costs running through its Aetna insurance unit — a theme that has now plagued multiple managed care names this year. The stock fell nearly 5%, dragging peers like Cigna modestly lower in sympathy.
Gold held firm above $3,100 as a mild softness in the dollar kept safe-haven demand supported. Oil was little changed near $74.80, with traders watching Wednesday's EIA inventory report for directional cues. Overall, the market's mood remained constructive with volatility near recent lows.