TLDR
- Nasdaq rose 0.4% while the Dow fell 0.4% and the S&P 500 stayed flat on Tuesday
- Meta shares extended Monday’s 11% gain after its Muse AI app hit the top of the App Store
- Oil prices dropped after reports Iran may reopen the Strait of Hormuz within seven days
- US-China trade talks were described as “very successful” by Treasury Secretary Scott Bessent
- The IT sector was on track for its first record close since June
US stocks were mixed on Tuesday as falling oil prices and confidence in artificial intelligence kept the tech-heavy Nasdaq heading higher.
The Nasdaq Composite rose around 0.4% to 27,216, building on a record high set the day before. The S&P 500 was roughly flat at 7,767, sitting less than 1% below its all-time record close of 7,798 set on August 13. The Dow Jones Industrial Average dropped around 0.4%, or roughly 195 points.
AI Trade Keeps Tech in the Lead
Meta shares were a key driver on Tuesday. The stock had surged 11% on Monday after its Muse AI agent app reached the top spot in the Apple App Store. Shares continued to climb on Tuesday, lifting the broader group of Magnificent Seven stocks.
The move sent a positive signal about demand for AI chips. The information technology sector was on track to close at a fresh record high for the first time since June.
Stocks had already gotten a boost to start the week. US and Chinese officials wrapped up preliminary trade talks ahead of a planned meeting between President Trump and Chinese leader Xi Jinping. Treasury Secretary Scott Bessent called the early discussions “very successful,” which raised hopes for cooperation on artificial intelligence between the two countries.
Oil Drops on Iran Strait of Hormuz News
Oil prices fell on Tuesday after reports emerged that Iran may reopen the Strait of Hormuz within seven days if the US takes steps to ease military pressure in the region.
Breaking: Oil crashes below $91 after reports say Iran offered to reopen the Strait of Hormuz within seven days if the US eases its military blockade. pic.twitter.com/cPI2ufcRZh
— Bull Theory (@BullTheoryio) September 22, 2026
Brent crude futures fell around 1% and West Texas Intermediate dropped close to 2%. Lower oil prices tend to ease inflation concerns, which can lift investor sentiment toward equities.
Investors were also watching the United Nations meeting for any updates on diplomatic efforts that could affect markets.
AutoZone shares rose after the auto parts retailer reported quarterly earnings that beat profit expectations, though it missed on revenue. KB Home also reported results on Tuesday during a quiet week for economic data and earnings.
The 10-year Treasury yield ticked slightly higher later in the session, which trimmed some of the earlier gains in stocks.
The S&P 500 remained within reach of a new record, with traders watching to see if fresh catalysts from diplomacy or earnings could push it over the line.
Stop guessing and start investing with confidence. KnockoutStocks gives you the AI insights, market intelligence, and stock research you need to spot opportunities, cut through the noise, and make smarter investment decisions — all in one powerful platform.
Sign up today and get 50% OFF full access to our premium stock picks.
Simply use coupon code SPECIAL50 at checkout to claim your exclusive discount.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
