Dow Surges Amid Government Shutdown Resolution Hopes

The Dow Jones Industrial Average reached a record high as U.S. lawmakers moved to end the government shutdown. Nvidia shares dropped amid AI valuation concerns, despite earlier market rallies. Meanwhile, the S&P 500 sector indices experienced gains, led by health care. Paramount Skydance announced significant investment and cost-cutting plans.

The Dow Jones Industrial Average soared to a record high on Tuesday. This surge was fueled by optimism that the U.S. government shutdown, the longest in history, might soon be resolved. The S&P 500 also saw gains, supported by positive movement in the health care sector, including major companies like Eli Lilly and Johnson & Johnson.

However, the market's rally was tempered by fluctuations in AI-related stocks. The Japanese tech giant SoftBank Group sold a significant amount of its Nvidia shares, causing a near 3% loss for the chipmaker. Meanwhile, Nvidia-backed CoreWeave faced a sharp decline in its stock price due to a lowered revenue forecast.

The Nasdaq saw a slight decline despite the Dow's rise, and the S&P 500 experienced a small upward tick. Paramount Skydance announced aggressive investment and cost-cutting initiatives, leading to a nearly 10% surge in its stock. Light trading volume marked the day, as U.S. bond markets were closed for the Veterans Day holiday.

(With inputs from agencies.)