Index Hits New High as Nvidia Climbs to Fresh Record

The chipmaker at the heart of the AI boom helped push the major indexes higher Tuesday after a raft of partnership announcements. Meanwhile, shares of a cruise operator encountered rough seas as adverse weather and cost pressures weighed on its outlook.

Major U.S. equities indexes extended their record run Tuesday as the Federal Reserve also kicked off its two-day meeting, with expectations running high that policymakers will decide to lower interest rates by another quarter point Wednesday. The S&P 500 added 0.2%, the Dow rose 0.3%, and the tech-heavy Nasdaq advanced 0.8% to set fresh closing records. See here for more coverage from Investopedia of the day’s market moves.

Nvidia (NVDA) shares powered up 5% to an all-time high after CEO Jensen Huang delivered a keynote speech at the company’s developers conference in Washington, D.C. The event brought a flurry of announcements from Nvidia, including a $1 billion investment in Nokia (NOK), as well as a new strategic partnership with the Finnish tech firm, whose shares soared nearly 23%. Nvidia also said it will collaborate with Oracle (ORCL) to build AI supercomputers for the U.S. Department of Energy and team up with Palantir Technologies (PLTR) on the development of an integrated AI technology stack.

Shares of Regeneron Pharmaceutical (REGN) gained close to 12% after the biotechnology firm posted stronger-than-expected quarterly earnings. Strong sales of eczema treatment Dupixent and skin cancer treatment Libtayo helped drive the performance. Regeneron also said it plans to resubmit an application for a higher-dose version of Eylea, a treatment for various diseases that affect the retina.

Skyworks Solutions (SWKS) and Qorvo (QRVO), manufacturers of radio-frequency chips for smartphones and other devices, announced a plan to merge. Both semiconductor makers have been navigating headwinds related to major customer Apple (AAPL), which began developing its own modem chips for use in its devices. Shares of both companies added about 6% following the merger announcement.

United Parcel Service (UPS) shares surged 8% after the package delivery giant topped analysts’ estimates with its third-quarter revenue and adjusted earnings per share. The company highlighted progress on a turnaround plan that includes efforts to streamline operations, close underutilized facilities, and reduce its workforce, with 50,000 positions cut so far this year.

PayPal Holdings (PYPL) shares climbed 3.9% after the payments provider said it would partner with ChatGPT operator OpenAI. Users who are shopping on ChatGPT will be able to check out using PayPal, while PayPal will connect its global merchant network with ChatGPT to provide opportunities for sales on the AI platform.

Alexandria Real Estate Equities (ARE), a real estate investment trust (REIT) focused on life science and technology properties, missed estimates with its third-quarter revenue and adjusted funds from operations (AFFO), a key measure of REIT profitability. The firm also lowered its full-year AFFO forecast, pointing to lower occupancy projections in North America and slumping demand in the life science industry. Shares of Alexandria Real Estate Equities plunged nearly 20%, falling the most of any S&P 500 constituent.

Shares of Royal Caribbean Cruises (RCL) sank 8.5%. The cruise operator’s revenue for the third quarter came in slightly below expectations, and its outlook for the fourth quarter also fell short of forecasts. Weather disruptions along with increased operating and interest expenses contributed to the cloudy outlook.