Traders work on the floor of the New York Stock Exchange (NYSE) during Pershing Square Capital Management LP’s initial public offering (IPO) in New York, US, on Wednesday, April 29, 2026.
Michael Nagle | Bloomberg | Getty Images
Stocks climbed on Tuesday, supported by chipmakers, as investors looked through the latest developments in the Iran war to focus on corporate earnings updates.
The Dow Jones Industrial Average rose 340 points, or 0.7%, while the S&P 500 and the Nasdaq Composite advanced 0.7% and 1.1%, respectively.
3M shares jumped more than 9% after the industrial giant’s second-quarter earnings came in better than expected. Additionally, General Motors reported a beat on the top and bottom lines for the second quarter, lifting the stock 3%. The reporting period is off to a strong start. Of the roughly 66 S&P 500 names that have reported, nearly 88% have topped bottom-line estimates, per FactSet.
Big names set to report later this week include Alphabet, IBM and Tesla.
“The next two weeks will be a defining stretch for earnings, and not just for tech,” said Bret Kenwell, U.S. investment analyst at eToro. “The broader message is already clear: companies that fail to clear Wall Street’s elevated bar are being punished.”
“That marks a sharp contrast with last quarter, when uncertainty had lowered expectations and investors were primarily looking for reassurance that geopolitical disruption had not derailed Corporate America,” he added. “Today, after the market’s run to record highs, good results are not always good enough.”
Semiconductors also gave a boost to the broader market. The VanEck Semiconductor ETF (SMH) gained 3%. Marvell Technology jumped around 6%, along with Astera Labs, while Micron Technology gained 7%. Intel advanced more than 5%.
Tuesday’s move higher comes after a losing session in which traders weighed escalations in the U.S.-Iran war.
Central Command has carried out its 10th consecutive night of strikes on Iran since President Donald Trump declared the ceasefire “over,” while Tehran’s forces have struck U.S. military assets across the Middle East and its Houthi allies have declared a maritime embargo against Saudi Arabia.
Oil prices seesawed on Tuesday as Wall Street monitored a renewed diplomatic push towards mediation efforts between the U.S. and Iran. Reports suggest mediators are proposing a 10-day ceasefire between the two adversaries. West Texas Intermediate crude futures were up 2% at above $85 a barrel, while international benchmark Brent was 2% higher at above $91.
Oil had traded higher during Monday’s session after President Donald Trump said in a Truth Social post that Tehran will pay for the deaths of three U.S. service members. The climb in energy prices pulled the major averages lower on the day, even as semiconductor stocks clawed back some of last week’s steep losses.
