Dow Jones Leads Wall Street Higher

US stocks delivered a mixed performance on Tuesday, with the Dow Jones Industrial Average outperforming the broader market as healthcare shares supported gains.

The Dow advanced 529.85 points, or 1.02%, to 52,495.88. The S&P 500 gained 21.84 points, or 0.28%, to 7,712.57, while the Nasdaq Composite edged down 6.07 points, or 0.02%, to 26,424.82.

Healthcare was the strongest contributor among the S&P 500’s major sectors, reaching a record high. Eli Lilly made the largest contribution to the benchmark’s index points, while UnitedHealth, Merck & Co., Johnson & Johnson and Amgen helped lift the Dow.

Financial services also supported the market, gaining 1% and becoming the S&P 500’s second-largest contributor by index points. Defensive sectors performed well, with real estate rising 1.7% and utilities advancing 1.2%.

The broader pattern favored value-oriented stocks. The S&P 500 value index rose 0.9%, while its growth counterpart declined 0.2%. The small-cap Russell 2000 gained 1.7%, indicating that market strength extended beyond large-cap technology companies.

Technology Shares Weigh on the Nasdaq

Technology stocks retreated 0.3%, making the sector the largest drag on the S&P 500 by index points and keeping the Nasdaq near unchanged.

The pullback followed a rebound on Monday after last week’s selloff, when investors raised concerns about the scale of artificial intelligence investment and the costs of financing that spending.

Communication services also weakened, falling 0.9%. Netflix declined 1.7%, Meta Platforms lost 1.6%, and Alphabet, Google’s parent company, fell 1%.

Market participants continued to question how effectively technology companies can translate substantial AI investment into sustainable revenue and profits. This uncertainty contributed to a rotation toward other areas of the market, particularly healthcare and smaller-cap stocks.

Company Results Drive Individual Stock Moves

Corporate announcements produced substantial movements across several individual shares.

SpaceX reported third-quarter profit after the market closed that exceeded estimates, lifting its shares 4% in late trading. Netflix, however, issued a weaker-than-expected fourth-quarter profit forecast, and its shares fell 6% after the announcement.

General Motors declined 6.8% after signaling potential pressure from higher commodity costs and weaker truck sales in the coming months.

Industrial conglomerate 3M advanced 5.8% after announcing an expansion of its data-center partnership with Amazon. The company also issued a warrant allowing an Amazon subsidiary to purchase 3M common stock worth more than $521 million and raised its full-year profit forecast.

Credit reporting company Equifax gained 11.3% after reporting third-quarter profit above analysts’ estimates. Hasbro rose 11.2% after raising its full-year forecasts for overall revenue and its digital gaming business.

These contrasting moves highlighted the importance of company-specific earnings and guidance, even as broader market performance reflected a shift away from technology leadership.

Market Breadth Shows Broad Participation

Market breadth was positive despite weakness in several large technology companies.

On the New York Stock Exchange, advancing shares outnumbered declining shares by a ratio of 2.04 to 1. The exchange recorded 114 new highs and 236 new lows.

On the Nasdaq, 3,245 stocks advanced and 1,608 declined, producing an advancing-to-declining ratio of approximately 2.02 to 1. The S&P 500 recorded 22 new 52-week highs and one new low, while the Nasdaq Composite registered 46 new highs and 266 new lows.

Total trading volume across US exchanges reached 15.91 billion shares, below the 20-session average of 17.15 billion.

What Investors Should Watch Next

The market’s next direction will depend partly on whether healthcare, financial services and smaller-cap stocks can sustain their relative strength while technology investors reassess AI spending and profitability.

Upcoming corporate results and forward guidance will remain important for determining whether the shift toward value-oriented sectors continues. Investors will also be watching commodity costs, consumer demand and corporate investment plans for signs of pressure on earnings.

Tuesday’s performance suggests that the market can advance even when technology shares weaken. However, the sustainability of that advance will depend on whether gains across other sectors can offset continued volatility among the largest growth stocks.