Nasdaq rises 0.4% as Meta AI momentum lifts technology stocks

  • Nasdaq Composite advanced as Meta's AI momentum supported technology shares.
  • Nasdaq rose 0.4% to 27,216, while the Dow fell about 195 points.
  • Crude prices declined amid reports Iran could reopen the Strait of Hormuz within seven days.

U.S. stocks finished mixed Tuesday as enthusiasm for artificial intelligence applications and falling energy prices supported technology shares. The Nasdaq Composite rose about 0.4% to 27,216, extending Monday's record-setting performance, while the Dow Jones Industrial Average fell roughly 0.4%, or about 195 points. The S&P 500 was little changed at 7,767, within 1% of its August 13 record close of 7,798. Meta shares continued higher after gaining 11% Monday when its Muse AI application reached the top position on Apple's App Store. The move helped lift the Magnificent Seven technology stocks and renewed optimism about semiconductor demand, with the information technology sector approaching its first record close since June. Treasury Secretary Scott Bessent described preliminary U.S.-China trade discussions as "very successful" ahead of a planned meeting between President Trump and Chinese President Xi Jinping, raising optimism about potential cooperation between the two countries on artificial intelligence. Brent crude fell about 1% and West Texas Intermediate declined nearly 2% amid reports that Iran could reopen the Strait of Hormuz within seven days if the United States reduces its military presence in the area. A Bull Theory post dated September 22, 2026, said oil had fallen below $91 on reports of that offer if the U.S. eased its military blockade. Investors also monitored the United Nations assembly for diplomatic developments. AutoZone rose after beating quarterly profit forecasts despite missing revenue expectations, while KB Home reported results during a quiet stretch for corporate earnings and economic data. The 10-year Treasury yield edged higher, limiting some earlier gains, as investors assessed whether diplomatic progress or corporate results could push the S&P 500 above its current closing record.

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