Nasdaq edges higher on Nvidia, Apple gains in US mid-market session; Dow lags amid tariff concerns

Nasdaq edges higher on Nvidia, Apple gains in US mid-market session; Dow lags amid tariff concerns

Stocks were mixed midway through Thursday’s session, with the Nasdaq Composite posting modest gains thanks to strength in Nvidia and Apple, while the broader market remained little changed. The tech-heavy Nasdaq rose 0.3%, lifted by optimism in the semiconductor sector. The S&P 500 hovered just below the flatline, while the Dow Jones Industrial Average lagged, falling 288 points, or 0.7%, as industrial heavyweight Caterpillar declined two percent following tariff-related warnings.

Markets are reacting to President Donald Trump’s announcement of a 100% tariff on imported semiconductor chips, with a notable carve-out for companies manufacturing in the United States. That exemption boosted shares of US-based chipmakers. Nvidia was up more than 1%, while Advanced Micro Devices surged 6%. The VanEck Semiconductor ETF also rose more than 1% in response.

Apple gained nearly 3% after announcing an additional $100 billion investment in US suppliers and companies over the next four years. The pledge follows a previous $500 billion commitment unveiled earlier this year. Trump reiterated that companies like Apple, which are investing domestically, will be exempt from the new tariffs. While the announcement injected some uncertainty into industrials, tech names and select semiconductors continued to attract investor support.

Despite trade policy headlines, economic fundamentals appeared to steady market sentiment. Weekly jobless claims came in better than expected, suggesting continued strength in the labour market. This helped balance concerns raised by last week’s softer-than-expected jobs data. Analysts said the market is still focused on strong corporate earnings and a resilient economy. According to FactSet, second-quarter earnings for the S&P 500 are tracking toward 11% growth from a year ago—nearly triple the pace seen at the end of June.

In stock-specific moves, CommScope climbed over 3% after Bank of America issued a rare double upgrade, moving the stock from underperform to buy. The call followed CommScope’s announcement of a $10.5 billion sale of its connectivity business to Amphenol, a move analysts said will help reduce debt and unlock value. On the flip side, Crocs shares plunged more than 25% after the company once again declined to offer a full-year outlook, citing a challenging and uncertain operating environment despite beating expectations this quarter.

Eli Lilly also came under pressure, dropping 13% to a new 52-week low after Leerink downgraded the stock on concerns over its obesity pill trial results. The company’s oral GLP-1 drug showed an 11.2% weight loss in trials, falling short of some expectations. While Lilly raised its overall forecast and posted better-than-expected earnings, the trial results for orforglipron took center stage. Bank of America, however, said the sell-off appeared overdone and reiterated its bullish stance.

Meanwhile, the crypto market rallied after reports that President Trump is preparing to sign an executive order allowing retirement accounts to invest in cryptocurrencies. Bitcoin reclaimed the $116,000 level for the first time in over a week, while Ether rose more than 4%. Crypto-linked stocks including Coinbase and Galaxy Digital moved higher as investor enthusiasm returned to the sector.

In Washington, Federal Reserve Governor Christopher Waller is reportedly the frontrunner to become the next Fed Chair, according to Bloomberg. Waller, who dissented in the last policy meeting in favor of cutting rates, was originally appointed by Trump and is seen as more dovish on monetary policy. His rising profile quickly shifted expectations in futures and prediction markets.