Nasdaq, S&P 500 Jump as Chip Stocks and Banks Push Market Higher

The stock market is buzzing again. On Tuesday morning, Nasdaq and S&P 500 futures hit record highs, giving investors a reason to smile as the second-quarter earnings season kicks off and inflation data nears.

S&P 500 futures were up 22.5 points (0.36%), reaching an all-time high. Nasdaq 100 futures jumped 0.58%, also touching fresh highs. But the Dow futures slipped slightly, down 32 points (0.07%).

The big push came from chip giant Nvidia, whose shares climbed nearly 5% in premarket trading. The company announced plans to restart sales of its H20 AI chip in China. This news also lifted other chipmakers—AMD rose 4.5%, Marvell Technology gained 2.7%, and TSMC (US-listed) moved up 2.3%.

This AI rally comes as the market waits for key inflation data—the June Consumer Price Index (CPI). It’s expected to show a year-on-year jump to 2.7%, up from 2.4% in May. Core inflation could also rise from 2.8% to 3%, according to economists.

That data could shape what the Federal Reserve does next. Right now, chances of a July rate cut are low, but markets are betting on a possible move in September. Fed speakers, including Governor Michael Barr, are expected to give more clues later today.

Bank Earnings Also Drive the Mood

Meanwhile, Wall Street kicked off a new earnings season with updates from big banks.

JPMorgan Chase shares stayed flat, but the bank raised its 2025 net interest income forecast—signs of confidence. Wells Fargo reported higher profits in Q2 after setting aside less money for bad loans. Still, its stock dropped 1.1%. On the other hand, BlackRock saw its assets under management hit $12.53 trillion. Yet, its shares slipped 0.9%.

There was also global tension. Former President Donald Trump renewed his tariff threats—this time targeting Russia, and even warned of 30% tariffs on the EU and Mexico starting August 1. But markets didn’t flinch. Investors stayed focused on earnings and trade deal hopes.

AI, Inflation, and Politics: It All Connects

One surprising mover was Trade Desk, a software firm jumping 14.6% after being selected to join the S&P 500 index.

Put together, these moves show how sensitive the market is to AI, inflation, and politics. Every chip sale, every CPI print, and every tariff tweet matters now.

As a young investor or market watcher, here’s the takeaway:
The game is fast. The triggers are global. And every headline counts. Stay sharp.

Also Read Trump Wants 1% Fed Rate – Experts Say It Could Backfire on US Economy