Market Report, 2026-11-03

Stocks stabilized on Tuesday after days of digesting information from big tech earnings. Many chip stocks rebounded slightly, as there appears to be no fundamental breakdown in the AI infrastructure trade. Although their declines over the past few months have brought the NASDAQ-100 into correction territory, the downturn has largely been an adjustment in expectations, as semiconductor stocks rallied significantly earlier this year.

A reversal of the rotation seen in prior days was the theme for today. The Dow declined 197 points to 51,787. The NASDAQ rose 0.83% to 25,372. The S&P 500 posted a gain of 0.36% to 7,569. The winning sectors today were technology, communication services, and industrials. The winning stocks were overwhelmingly AI chipmakers, hyperscalers, and electrical equipment manufacturers. All other sectors ended the day in the red.

As the stock market stabilized, the bond market declined. Both the U.S. 5-year and 10-year Treasury yields rose by 7 basis points to 4.76% and 4.96%, respectively.

Let’s turn our attention to the earnings of the tech giant Apple and the rising star Palantir. Both stocks experienced declines after reporting better-than-expected earnings. Apple shares fell by 2% today after management's guidance revealed profitability headwinds stemming from what it described as an “unprecedented” surge in memory chip prices, leading to lower margins. Palantir shares fell by 1.65% after signs of moderation emerged in U.S. commercial bookings and backlog growth, raising concerns about potentially plateauing AIP customer conversion.

Thank you for listening. Adams Wealth Advisors will be back to cover private payroll and services sector reports, in addition to important earnings reports from chipmakers.