The US stocks scaled up new record highs on Tuesday as investors focussed on earnings and looked to the Federal Reserve meeting to confirm interest rate cuts and a further decline in borrowing costs. Overall mood stayed supported on expectations around the Trump-Xi meeting, which could ease trade tensions and steady global demand outlook. The Nasdaq advanced 190.04 points or 0.8% to 23,827.49, the Dow climbed 161.78 points or 0.3% to 47,706.37 and the S&P 500 0.2%, notching its third consecutive record close. Nvidia (NVDA) led the way higher, providing a lift to the markets as CEO Jensen Huang gave the keynote address at its GTC event. The counter rose 5% to a record high as Huang said the AI industry has turned a corner while announcing a flurry of new partnerships.
The US Fed kicked off its two-day policy meeting on Tuesday with traders pricing in a second consecutive interest rate cut in its decision on Wednesday. The watch is on for clues from Chair Jerome Powell as to the odds of another rate cut in coming months. Meanwhile, consumer confidence in the U.S. saw a modest deterioration in the month of October, according to a report released by the Conference Board on Tuesday. The Conference Board said its consumer confidence index dipped to 94.6 in October from an upwardly revised 95.6 in September.