MARKETS LIVE: Nasdaq extends record run as AI trade offsets Dow weakness

4:20pm: AI trade stays strong

US stocks finished mixed on Tuesday, with the Nasdaq extending its record-setting run as strength in AI-related shares helped offset weakness in the Dow.

The Nasdaq rose 0.5% to 27,244, marking a second straight record close, while the S&P 500 was essentially flat at 7,765. The Dow Jones Industrial Average fell 185 points, or 0.4%, to 51,864.

Investors continued to adjust portfolios with the third quarter drawing to a close, while a relatively light economic calendar kept the focus on individual stocks and broader market themes.

Falling oil prices also helped ease some inflation concerns, while the AI trade remained a key source of momentum for technology stocks.

Attention now turns to Micron Technology, which is due to report quarterly results after the closing bell on Wednesday. The chipmaker’s results and outlook are expected to offer another read on demand for AI-related hardware and spending across the sector.

3:35pm: Small cap wrap

374Water Inc (NASDAQ:SCWO, FRA:8LL) will present new data on the destruction efficiency of its AirSCWO supercritical water oxidation technology for treating PFAS, 6PPD-Q and other emerging contaminants at WEFTEC 2026 in New Orleans.
Graphene Manufacturing Group Ltd (TSX-V:GMG, OTCQX:GMGMF) has agreed to raise approximately US$10 million through a private placement of nearly 6.5 million shares priced at C$2.15 each.
Century Lithium Corp. (TSX-V:LCE, OTCQX:CYDVF) plans to develop a commercial-scale chlor-alkali plant in Nevada to produce chlorine, hydrochloric acid and sodium hydroxide for the western US critical minerals supply chain and its Angel Island Lithium Project.
Gunnison Copper Corp (TSX:GCU, OTCQB:GCUMF, FRA:3XS0) has achieved commercial production at its Johnson Camp Mine in Arizona after producing a record 1.3 million pounds of copper cathode in August.
Nextech3D.AI (CSE:NTAR, OTCQX:NEXCF, FRA:1SS) has launched KATE, an AI-powered training platform designed to turn executives, trainers and subject-matter experts into digital trainers while measuring training effectiveness in real time.
Power Metallic Mines Inc (TSX-V:PNPN, FRA:IVV1, OTCQB:PNPNF) reported that deep drilling at its Lion deposit in Quebec intersected 5.7 metres of massive to semi-massive copper sulphides at a depth extending more than 25% below the deepest hole used in its latest mineral resource estimate.
Sigma Lithium Corp (TSX-V:SGML, NASDAQ:SGML, ASX:SAU) has received an Overweight rating from JPMorgan, which initiated coverage on the lithium producer and highlighted its operational progress, brownfield growth opportunities and expectations for continued industry demand.

2:15pm ET: Market movers

Eldorado Gold is advancing its Skouries copper-gold project in Greece toward commercial production, prompting Bank of America to upgrade the shares to Buy and raise its price target by 71% to $54.
On Holding is targeting high-teens constant-currency sales growth, gross margins above 65% and adjusted EBITDA margins above 22% through 2029, alongside a new $1 billion share buyback program.
Capri Holdings saw its shares rise after a report that the luxury fashion group had contacted potential acquirers that reviewed its financial records.
374Water Inc (NASDAQ:SCWO, FRA:8LL) is set to present new destruction-efficiency data for its AirSCWO supercritical water oxidation technology targeting PFAS, 6PPD-Q and other emerging contaminants at WEFTEC 2026.
Graphene Manufacturing Group Ltd (TSX-V:GMG, OTCQX:GMGMF) has secured approximately US$10 million through a private placement with a private investor that will purchase nearly 6.5 million shares at C$2.15 each.
Century Lithium Corp. (TSX-V:LCE, OTCQX:CYDVF) plans to develop a commercial-scale chlor-alkali plant in Nevada to produce chlorine, hydrochloric acid and sodium hydroxide for the western US critical minerals supply chain and its Angel Island Lithium Project.
Gunnison Copper Corp (TSX:GCU, OTCQB:GCUMF, FRA:3XS0) has reached commercial production at its Johnson Camp Mine in Arizona after producing a record 1.3 million pounds of copper cathode in August.
Shopify Inc (TSX:SH., NYSE:SHOP) shares climbed after Meta integrated its Muse artificial intelligence agent with Shopify’s Shop Pay checkout system, linking Meta’s consumer AI technology with Shopify’s e-commerce and payments infrastructure.
Viking Therapeutics (NASDAQ:VKTX) reported clinical trial data showing its obesity drug VK2735 maintained most patients’ initial weight loss after they switched to less frequent dosing.
GameStop Corp (NYSE:GME) CEO Ryan Cohen bought nearly 1.15 million Class A shares for about $26.4 million, extending his recent insider purchases.
Autozone Inc (NYSE:AZO) reported fourth-quarter net sales of $6.6 billion, up 5.6% year over year, while diluted earnings per share increased to $56.05 from $48.71.
Alibaba Group (NYSE:BABA) unveiled its new Zhenwu V900 artificial intelligence chip and plans to expand data center capacity, with the company saying the chip delivers three times the performance of its predecessor.

11:50am ET: Rally starts to soften

Monday’s risk-on rally has started to stall on Wall Street, IG’s Axel Rudolph noted.

“Having come close to their record highs, US stock indices are finding it increasingly difficult to maintain this week’s bullish momentum ahead of US President Trump’s meeting with Chinese President Xi on Thursday,” Rudolph commented.

“On the currency front, the US dollar holds firm as hawkish remarks from Federal Reserve officials bolster expectations of further interest rate hikes.”

In London, the FTSE 100 index closed about 31 points lower at 10,708 points, down 0.3% on the day.

11:00 ET: Small-cap Round-Up: Clients report

Light Science Technologies Holdings PLC (AIM:LST, FRA:9FD): Won a roughly £342,000 healthcare follow-on order, taking orders from that customer above £500,000.

Sunda Energy PLC (AIM:SNDA, FRA:GHA0): Announced a £5.25 million placing and subscription plus a retail offer up to £525,000, partly subject to shareholder approval.

Quantum Helium Ltd (AIM:QHE): Targets fourth-quarter Sagebrush well stimulation, subject to approvals; US quotation scheduled today under QHELF.

Meridian Mining Plc (LSE:MNO, TSX:MNO, OTCQX:MRRDF): Cabaçal study estimates base-case after-tax net present value of $2.09 billion at a 5% discount rate.

Foresight Solar Fund Ltd (LSE:FSFL, FRA:1F5): Weighs strategic options as June net asset value per share fell to 94.9p from 99.2p at year-end.

10:15 ET: Mixed open

Wall Street opened mostly higher on Tuesday as a retreat in oil prices helped ease some pressure on investors, while continued enthusiasm around artificial intelligence kept technology stocks in focus.

The Nasdaq rose 0.5% to 27,248, while the S&P 500 was essentially flat at 7,767. The Dow Jones Industrial Average fell 243 points, or 0.5%, to 51,806.

AI remained a major driver of the session. Advanced Micro Devices surged after pushing its market value above $1 trillion for the first time, reflecting continued investor appetite for companies expanding their exposure to AI computing infrastructure. Meta Platforms also moved higher following a price-target upgrade and upbeat expectations for demand for its autonomous AI agent.

Alibaba gained more than 2% at the open after unveiling what it described as its most powerful AI chip yet, adding another lift to the broader AI trade.

Oil prices moved lower, providing some relief as investors also looked ahead to a busy day of central-bank and financial-market commentary. The New York Federal Reserve is hosting a Treasury market conference featuring New York Fed President John Williams, Fed Vice Chair Philip Jefferson and Commodity Futures Trading Commission Chairman Michael Selig.

9:15 ET: Futures mixed, oil watched

Wall Street futures diverged Tuesday after an AI rally lifted the Nasdaq Composite to its first record close since June.

Brent crude remained below $100 a barrel, but fighting near Yemen’s Bab el-Mandeb Strait presented another risk to Middle Eastern oil supplies.

Iran-backed Houthi militants and Saudi-aligned forces have battled for territory overlooking the waterway, which connects the Red Sea with the Gulf of Aden.

Saudi Arabia has relied on this route to ship oil to global markets since the effective closure of the Strait of Hormuz earlier this year.

Recent reports suggest Saudi oil flows have improved despite attacks disrupting the kingdom’s east-west pipeline. Further interruptions could renew pressure on energy prices and inflation.

8:00 ET: Wall Street preview

US stock futures edged higher Tuesday after an AI-led rally gave the S&P 500 its strongest session since August.

Dow futures stood at 52,638.00, up 163.00 points from the previous close. S&P 500 futures were 4.25 points higher at 7,837.75, while Nasdaq-100 futures added 12.25 points to 30,797.00.

Meta Platforms helped drive Monday’s advance as its new AI model raised expectations for wider consumer adoption of AI assistants. Chipmakers Advanced Micro Devices and Intel also rallied.

Oil and diplomacy remain in focus. Brent crude has fallen below $100 a barrel, while Iran has offered to reopen the Strait of Hormuz within seven days in exchange for US military de-escalation, Kyodo News reported. Continued disruption to regional supplies could nevertheless keep pressure on energy prices and inflation.

President Donald Trump is scheduled to address the UN General Assembly Tuesday. Attention then turns to Thursday’s meeting with Chinese President Xi Jinping, with AI safety and a possible extension of the trade truce among the expected topics. Deutsche Bank analysts said an extension beyond November remained unresolved.

In London, the FTSE 100 traded 16.44 points higher at 10,755.45

11:25 BST: Back in the green

The blue-chip index is ducking and diving around the gain line, moving from negative territory to a 23-point advance in late morning trading.

There’s a bit of broker cover of JD Sports on Tuesday, the day after it unveiled a move into the Mexican market. The generally positive tenor of the notes may explain the 3% advance of the share price today. 

Elsewhere, the moves higher of Kingfisher and Smiths Group (LSE:SMIN) have been prompted by upbeat news flow.

10:10 BST: Burberry downgraded

Burberry has lost a backer in RBC Capital Markets, which downgraded the British luxury group and cut its price target after warning that demand for high-end goods is cooling.

The bank moved its rating to “sector perform”, meaning it expects the shares to track the wider luxury sector, from “outperform”, and lowered its target to £12 from £14.

In morning trading, the stock was changing hands for £10.41, up 1.5%.

9.00 BST: Sector weakness pulls London into the red

The FTSE 100 reversed its opening gain to fall 23 points, or 0.2%, to 10,716. The FTSE 250 lost 39 points to 24,452, while AIM slipped 0.1% to 795.

Losses clustered among financial, property and precious-metals shares. Admiral Group dropped 2.2%, Standard Chartered fell 1.9% and Aviva lost 1.6%.

Land Securities declined 2.5% and British Land fell 2%, while gold producers Fresnillo and Endeavour Mining retreated 2.6% and 2.2%, respectively.

Company updates provided pockets of strength. Kingfisher up to 11% and Smiths Group rose upto 6%, while home-improvement peers Wickes and Travis Perkins (LSE:TPK) advanced 1.9% and 1.4%.

8.15 BST: Industrials support muted opening gain

The FTSE 100 opened marginally higher, gaining six points to 10,745 after briefly reaching 10,771.66.

Industrial and consumer-facing shares provided support. Smiths Group (LSE:SMIN) advanced 2.1%, Whitbread gained 1.6% and Howden Joinery rose 1.2%, while Airtel Africa added 0.6%.

Financial stocks moved in the opposite direction, with Admiral Group down 2.4% and Standard Chartered losing 1.1%.

Property shares were divided rather than following a broader sector trend. Land Securities advanced 1.9%, while British Land fell 0.9%.

7.00 BST: AI rally lifts London call as borrowing overshoots

The FTSE 100 is expected to open higher on Tuesday after an artificial intelligence-fuelled rally sent the Nasdaq to a record, although another overshoot in UK government borrowing could temper sentiment.

The blue-chip index is called to open around 18 points higher at 10,757, building on Monday’s 80-point advance to 10,739.01.

The positive call came as the Office for National Statistics reported public-sector borrowing of £18.3 billion in August, £2.9 billion more than a year earlier and £3.5 billion above the Office for Budget Responsibility’s forecast.

Borrowing during the financial year to August reached £77.3 billion. Although £2.2 billion lower than in the corresponding period last year, it was £8.1 billion above the OBR projection, adding to the pressure on the government ahead of the autumn Budget.

Wall Street rallied overnight as falling oil prices and bond yields revived demand for technology shares. The Nasdaq Composite climbed 2.3% to a record 27,122.09, while the S&P 500 rose 1.5% to within 0.4% of its all-time high. The Dow Jones added 366 points, or 0.7%.

Chipmakers led the gains, supported by renewed enthusiasm for artificial intelligence. The US ten-year Treasury yield eased to around 4.95%, reducing some of the pressure on highly valued growth companies.

Asian markets were also mostly higher. South Korea’s Kospi advanced around 1.6%, Australia’s ASX 200 added 0.3%, Hong Kong gained 0.3%, and Shanghai edged 0.1% higher. Tokyo remained closed for a public holiday.

Bitcoin extended the broader risk rally, climbing around 4.8% to approximately US$85,400, having traded as high as US$87,364 during the past 24 hours.

Brent crude recovered slightly to around US$101.72 a barrel after retreating sharply from almost US$110 last week. Improved physical supply flows through the Gulf have reduced the immediate geopolitical premium despite continuing disruption around the Strait of Hormuz.

Gold slipped to approximately US$4,326 an ounce as investors moved towards riskier assets, while sterling strengthened modestly to around US$1.338.

On the corporate calendar, B&Q owner Kingfisher is due to publish half-year results, while engineering group Smiths reports its full-year figures. Investors will also assess the effect of lower oil prices on BP and Shell after both companies fell during Monday’s rising market.