Nasdaq 100: Nvidia and Dell Lift Tech Stocks Today as US Indices Eye Fed Cut Forecast

Tech Gains Lift Nasdaq While S&P Slips as Traders Raise Fed Cut Bets

U.S. equities traded mixed late Tuesday, with the Nasdaq and Dow inching higher while the S&P 500 slipped despite firm strength in large-cap tech.

At 16:31 GMT, the Dow rose 86.40 points or 0.18% to 47,375.73, the Nasdaq gained 35.01 points or 0.15% to 23,310.93, and the S&P 500 eased 0.97 points or 0.01% to 6,811.66.

Tech leadership helped counter broader caution ahead of Friday’s PCE inflation release, the key data that could shape next week’s Federal Reserve decision.

The information technology sector advanced roughly 1.4%, powered by a 3% gain in Nvidia and a 5% jump in Dell Technologies. The move helped stabilize sentiment after Monday’s decline, when rising Treasury yields and heavy selling in crypto-exposed stocks pressured major indexes.

Cooling economic indicators continue to reinforce expectations for near-term policy easing, even as some analysts argue the current economic backdrop does not warrant rate cuts.

Are Traders Increasing Their Rate Cut Expectations?

Yes. Markets now assign an 87.4% probability of a 25-basis-point cut next week, nearly double the odds seen a month earlier per the CME FedWatch Tool. Fed officials remain split, but recent dovish remarks from key voting members have strengthened market conviction. Friday’s PCE data is widely viewed as the final catalyst that could confirm or challenge those expectations.

Attention has also turned to speculation over who may succeed Chair Jerome Powell, whose term expires next year. Reports naming Kevin Hassett as a leading contender have added another layer of uncertainty for traders assessing the Fed’s long-term policy direction.

Which Sectors and Stocks Shaped Tuesday’s Market Tone?

Sector performance was uneven. Industrials, Financials, and Technology moved higher, while Energy, Materials, and Consumer Staples declined. Boeing rose 6% after projecting stronger cash flow next year. Warner Bros Discovery gained 1% following reports of additional takeover interest, including a bid from Netflix.

Crypto-linked names recovered as bitcoin steadied from Monday’s steep drop. Strategy climbed 4.07% and Coinbase gained 2.4%, reflecting renewed risk appetite within the group.

Where Did the Nasdaq 100 See Notable Action?

Intel led large-cap movers with a 6.66% rally. MercadoLibre gained 3.34%, Booking Holdings rose 4.13%, and AppLovin jumped 5.53%. Chipmakers traded mixed, with Texas Instruments, Lam Research, and Applied Materials advancing while AMD and Micron declined. Shopify added 4.47%, extending strength in growth-focused names.

What Comes Next for Traders?

Market direction in the short term hinges almost entirely on Friday’s PCE release. A softer reading would likely reinforce expectations for a rate cut next week and support risk appetite in tech. A hotter report may pressure current pricing and trigger repositioning.

Short-term forecast: cautiously bullish bias supported by tech strength, with inflation data holding decisive influence.

More Information in our Economic Calendar.