U.S. stocks moved higher in Tuesday trading as gains in semiconductor shares and another round of stronger-than-expected corporate earnings helped investors look past ongoing geopolitical tensions in the Middle East.
The Dow Jones Industrial Average rose about 0.7%, while the S&P 500 gained roughly 0.8% and the Nasdaq Composite advanced about 1.3%. Semiconductor stocks led the market higher, with the VanEck Semiconductor ETF NASDAQ:SMH climbing around 4%. Micron Technology NASDAQ:MU jumped about 10%, Intel NASDAQ:INTC gained roughly 7%, Marvell Technology (MRVL) rose about 7%, and Astera Labs (ALAB) added nearly 6%.
Earnings also supported sentiment. 3M (MMM) surged more than 9% after reporting quarterly results that exceeded expectations, while General Motors (GM) climbed about 5% following better-than-expected second-quarter earnings. According to FactSet data, nearly 88% of the 66 S&P 500 companies that have reported earnings so far have topped analysts' profit estimates.
Investors also continued monitoring developments in the U.S.-Iran conflict and oil prices while awaiting earnings reports from Alphabet (GOOGL), IBM NYSE:IBM and Tesla NASDAQ:TSLA later this week.