U.S. stocks finished higher Tuesday on the final trading day of the second quarter, as technology shares helped lift the major indexes to their strongest three-month performance in years. Oliver Pursche, senior vice president and advisor at Wealthspire Advisors, said the first half of 2026 turned out far better than most on Wall Street had expected, even with geopolitical uncertainty and a volatile global backdrop.
The Dow Jones Industrial Average rose 129.74 points, or 0.25%, to 52,312. The S&P 500 gained 55.29 points, or 0.74%, to 7,495, while the Nasdaq Composite climbed 345.96 points, or 1.33%, to 26,166. Both the S&P 500 and the Nasdaq posted their best quarterly performance since 2020, while the Dow recorded its strongest quarterly gain since 2022.
It was a tale of two quarters. The S&P 500 advanced roughly 13.5% over the three-month period, driven largely by a technology sector that surged about 28%, according to Edward Jones. During June, however, investors shifted money away from many of the largest technology companies and into health care, industrial and financial stocks.
Among the developments drawing investor attention, Alphabet officially replaced Verizon in the Dow Jones Industrial Average this week, while SpaceX is expected to join the Nasdaq-100 before trading begins on July 7.
Investors also continued to monitor overseas developments. While tensions in the Middle East eased considerably during June, diplomatic efforts between the United States and Iran remained uncertain. The calmer environment nevertheless helped pull oil prices back toward levels seen before the conflict intensified earlier this year.
Interest-rate expectations remain one of Wall Street’s biggest concerns. Traders continue to monitor incoming economic data for clues about the Federal Reserve’s next move, while strategists at Bank of America told clients they believe cyclical sectors such as financials and energy could outperform during the second half of the year.
Market movers
Several companies posted notable moves on Tuesday.
AeroVironment extended its recent rally following strong quarterly results, with Chief Executive Wahid Nawabi pointing to increased global demand for advanced defense technologies.
Air Products and Chemicals climbed about 9%, while solar installer Sunrun gained roughly 5%.
On the downside, Concentrix plunged approximately 22% after reporting disappointing quarterly results and issuing weaker-than-expected guidance.
Norfolk Southern fell more than 8%, while Digital Realty Trust slipped after announcing a $3.5 billion transaction involving three data centers.
Strategy, the company best known for its large bitcoin holdings, also declined after changing its long-standing policy of never selling its cryptocurrency holdings.
After the closing bell, Nike reported fiscal fourth-quarter revenue of $10.97 billion and earnings of 72 cents per share, easily topping analysts’ expectations. The results were helped in part by a benefit related to expected tariff-cost recoveries as Chief Executive Elliott Hill continues implementing the company’s turnaround strategy.
Commodities and volatility
Oil prices continued to retreat as supply concerns eased. Brent crude traded near $73 per barrel, while West Texas Intermediate hovered around $70 per barrel, both well below their recent conflict-driven highs.
Gold eased to around $4,040 per ounce, giving back some of its recent gains, while the Cboe Volatility Index (VIX) remained in the mid-teens, reflecting relatively calm market conditions.
With U.S. markets closed Friday for the Independence Day holiday, investor attention now shifts to Thursday’s closely watched June employment report, which could provide important clues about the Federal Reserve’s policy path during the second half of the year.
JBizNews Desk | New York
© JBizNews.com All Rights Reserved. Reproduction or distribution without written permission is prohibited.
