S&P 500 near record as Intel jumps 22% on outlook

Wall Street trades mixed, Nasdaq hits a fresh high

US stock indexes traded mostly higher, led by technology shares, as the Nasdaq 100 set a new all-time high. The S&P 500 rose 0.41%, while the Dow Jones Industrial Average slipped 0.33% and the Nasdaq 100 gained 1.36%. Futures also pointed to strength in tech, with June E-mini S&P futures up 0.38% and June E-mini Nasdaq futures up 1.35%. Market breadth was weaker than the headline move, with reporting noting that the majority of stocks within the S&P 500 were lower even as the index held up.

Intel’s outlook triggers a sharp re-rating in chip stocks

Intel shares climbed more than 22% and touched a record high after the company forecast second-quarter revenue of $13.8 billion to $14.8 billion. That range was well above the expectation of $13.04 billion cited in the report, and it set the tone for a broad semiconductor rally. The move also revived investor optimism around the economic upside of artificial intelligence for chipmakers, particularly for suppliers linked to AI compute build-outs.

The gains spread quickly across the sector. Advanced Micro Devices and Arm Holdings were both reported up more than 13%, while Qualcomm rose more than 7%. Nvidia, Lam Research, KLA, and Micron Technology were up more than 4%, with Applied Materials and ASML up more than 2%.

Bonds firm as yields ease, helping equities hold gains

Stocks maintained gains as bond yields fell during the session, supporting valuations for growth and technology shares. The 10-year Treasury yield dipped to 4.30% from 4.34% late the previous day. T-notes were also described as rebounding after WTI crude oil gave up a roughly 1% advance and turned lower, easing near-term inflation concerns. Traders were again betting on the possibility that the Federal Reserve could resume interest-rate cuts later in the year, according to the report.

DOJ ends Powell probe, reshaping the Fed leadership narrative

A key catalyst for the drop in yields was the Department of Justice announcement that it was dropping its investigation into Fed Chair Jerome Powell over cost overruns linked to the Federal Reserve’s renovation. The development was framed as potentially clearing the path for President Donald Trump’s nominee to chair the Fed, Kevin Warsh. The report also noted that Senator Tillis had vowed to block Warsh’s confirmation unless the DOJ investigation was dropped, raising the possibility that his opposition could now ease.

Consumer sentiment data comes in better than expected

US economic data cited in the report was broadly supportive for risk assets. The University of Michigan’s April consumer sentiment index was revised up by 2.2 points to 49.8, stronger than expectations of 48.5. One-year inflation expectations were revised down to 4.7% from 4.8%. But the 5-10 year inflation expectations measure was revised up to a 6-month high of 3.5% from 3.4%, a reminder that longer-term inflation expectations remain sensitive.

Iran war backdrop keeps oil volatile and risk appetite cautious

Oil prices continued to swing as markets waited for clarity on what comes next in the Iran war. Reports also highlighted hopes in financial markets that the United States and Iran could avoid a worst-case scenario for the global economy. Separately, market chatter pointed to the possibility of US-Iran discussions resuming, though a report cited said there was no direct confirmation of talks.

Another deal watch: Sun Pharma linked to Organon report

In another notable move, Organon & Co. rose more than 17% after The Economic Times reported that Sun Pharma was planning to submit a binding offer of $13 billion for the company. The report did not include confirmation from the companies in the provided text, but the headline drew attention because it connected an Indian pharmaceutical major to a large outbound acquisition prospect.

Key numbers to track

Market impact: what drove the divergence across indices

The session’s split between the Dow and Nasdaq reflected how concentrated the gains were in semiconductors and other technology leaders. Intel’s large move pulled peers higher and supported index-level performance in benchmarks with heavier tech exposure. Lower Treasury yields added to that support, particularly for growth stocks whose valuations are more sensitive to discount rates. At the same time, geopolitical uncertainty around Iran and swings in oil kept a layer of caution in the broader market.

Why this matters for investors watching global cues

The day’s price action reinforced how quickly AI-linked earnings signals can change sentiment in semiconductors, a sector that has become a key driver of US index direction. It also showed the market’s sensitivity to policy headlines, with the DOJ decision on the Powell probe coinciding with a drop in yields and a steadier tone in equities. For India-focused investors, the Organon report involving Sun Pharma stood out as a reminder that large cross-border M&A headlines can move stocks sharply even before confirmation.

Conclusion

US markets stayed mixed but tilted positive as Intel’s forecast powered a broad chip rally and the Nasdaq 100 set a fresh record. Falling Treasury yields and stronger consumer sentiment data added support, while Iran-related uncertainty kept oil volatile. Investors will continue to track upcoming corporate results and further updates on Fed leadership developments after the DOJ ended its Powell investigation.