Tech rebounded for a second day, but the rally was lopsided. Chips were strong, with AMD up 5.45%, Broadcom 4.00% and Intel 3.61%, while software slid: Adobe -3.97%, Salesforce -2.71%, ServiceNow -2.15%. Anthropic's $125 billion equipment lease commitment reads like an order book for chipmakers, yet it also fuels fears that AI can replace legacy software. The Dow was flat at +0.03% because Boeing's 10.69% plunge single-handedly dragged it down. Consumer confidence at 91.7, far above the 81 forecast, is welcome, but the 10-year yield remains at 4.99%. This bounce turns into a trend only if tomorrow's FOMC stops at a hawkish pause and Microsoft and Alphabet prove their AI spending with numbers. For now we are still confirming, and we stay neutral.
📊 Top Movers
🧭 Sector Performance
🇰🇷 Korean Investor Perspective
For Korean investors, Micron's 2.77% gain to $928.76 and AMD's 5.45% stand out first. Anthropic's huge equipment commitment and Broadcom's $63 billion financing reconfirmed AI infrastructure demand, a favorable backdrop for SK Hynix and Samsung Electronics, which supply HBM memory. QQQ rose 1.27%, SPY 0.56% and the 3x leveraged TQQQ 3.81%, so leveraged products again reacted most. The won weakened 5.05 to 1,326.81 per dollar, giving unhedged Korean holders roughly an extra 0.4% in won terms. With the FOMC result and Big Tech earnings landing early tomorrow Korea time, caution on leveraged positions is warranted.
📊 Market Overview
On Tuesday, October 27, US stocks rose for a second straight day on strength in semiconductors. The S&P 500 gained 45.83 points (+0.60%) to 7,722.60, and the Nasdaq Composite climbed 308.43 points (+1.18%) to 26,477.81. The Dow Jones Industrial Average added 15.99 points (+0.03%) to 52,377.57, essentially flat. The Nasdaq outpaced the Dow because chip stocks lifted the index while Dow component Boeing plunged 10.69% on weak results, erasing nearly all of the Dow's gains. The Russell 2000 also rose 1.16% as risk appetite spread to small caps.
Three factors drove the session. Anthropic's IPO filing, made public the previous day, revived expectations for AI infrastructure spending, and Broadcom rose 4.00% on reports of a $63 billion Anthropic-related financing. Boeing, meanwhile, collapsed after its third-quarter loss came in wider than expected. The Fed's two-day FOMC meeting began, and with CME Group pricing roughly 10% odds of a rate hike, markets broadly expect a hold. A Conference Board consumer confidence reading far above forecasts also supported sentiment.
Only 5 of 11 sectors rose. Technology (XLK) was strongest at +1.70%, while energy (XLE) was weakest at -2.05% on lower oil. The index rose, but it was a narrow day with gains concentrated in chips.
🔑 Key Issues
1. Broadcom +4.00% on a $63 billion Anthropic financing
Broadcom rose 4.00% to $342.33. Per reports, a $63 billion financing involving Bank of America, Blackstone, Citigroup and Morgan Stanley will fund Anthropic's purchases of Broadcom AI chips and networking gear. Anthropic's filing also includes a five-year equipment lease commitment of about $125.2 billion excluding interest. DA Davidson cited this in upgrading Broadcom to Buy with a $400 target. AMD (+5.45%, $560.26), Intel (+3.61%), Micron (+2.77%), Qualcomm (+2.54%) and Nvidia (+0.90%) also rose. Anthropic plans to list on the Nasdaq under the ticker 'ANT', with reports saying trading could begin as early as mid-November.
2. Boeing -10.69% on a wider loss and delayed 737 ramp
Boeing fell 10.69% to $168.18, the biggest decliner among our tracked stocks. Its third-quarter core loss per share was $0.34, wider than the expected loss of about $0.21–0.24. Revenue rose 4% year over year to $24.19 billion, backlog hit a record $745 billion and free cash flow improved to $464 million. Defense revenue rose 15% to $7.94 billion, but commercial airplanes posted a $697 million operating loss. The biggest disappointment appears to be that the 737 MAX production increase target slipped to the second half of 2027. The stock initially rose early on the revenue beat before reversing sharply.
3. Meta -1.64% on a plan to raise up to $95 billion in stock
Meta fell 1.64% to $620.19, weak for a second day. Reports said Nvidia will invest $3 billion in Meta's plan to raise up to $95 billion through stock sales for its AI buildout, and that AMD and Broadcom expressed interest in buying up to $5 billion in aggregate. For chipmakers it means a customer securing funding, but Meta shareholders appear to have read it as dilution.
4. Software weakness: Adobe -3.97%, Salesforce -2.71%
On a day chips rose, software moved the other way. Adobe fell 3.97% to $248.36, Salesforce 2.71% to $240.89 and ServiceNow 2.15% to $154.78. We found no report directly explaining these individual declines. It is worth noting, however, that software stocks have repeatedly weakened this month on concerns that AI models could replace legacy business software and on questions over how AI spending is financed.
5. Tesla +4.04%, Barclays upgrade effect for a second day
Tesla rose 4.04% to $407.46, reclaiming $400. The effect of Barclays' upgrade to Overweight and $450 target the day before carried over. Barclays cited a possible combination with SpaceX, a recovery in the core auto business and robotaxi progress. Latvia also approved Tesla's FSD (Full Self-Driving) software, making it the tenth EU member to do so.
6. Consumer confidence surprises at 91.7
The Conference Board's October consumer confidence index rose 7.5 points to 91.7 from September's 84.2 (slightly revised up), its first increase in four months. The consensus was around 81. The Present Situation Index rose 8.6 points to 120.4. The Conference Board cited improved views of business conditions and falling gasoline prices. More respondents, however, said they plan to spend less on services and durable goods over the next six months, a lingering sign of slowing consumption.
7. Earnings season: Coca-Cola, Visa, PayPal
Coca-Cola beat with adjusted EPS of $0.91 versus $0.88 expected and raised its annual earnings outlook, yet the stock fell 1.64% on concerns about slowing North American demand. Visa, reporting after the close, posted fiscal fourth-quarter adjusted EPS of $3.48 versus $3.44 expected on revenue of $12.14 billion, but fiscal 2027 guidance implied slower earnings growth, and the stock was reported down about 2.3% after hours. UPS rose about 2% after raising full-year guidance.
📊 Sector Performance
| Sector | Change | Main driver |
|---|---|---|
| Technology | +1.70% | AMD +5.45%, Broadcom +4.00%, Intel +3.61%, Oracle +3.55% |
| Consumer Discretionary | +1.04% | Tesla +4.04%, Amazon +1.61% |
| Materials | +0.78% | Commodity strength incl. gold +0.86%, no specific driver found |
| Utilities | +0.71% | NextEra +0.46%, Duke +0.29% |
| Industrials | +0.57% | Caterpillar +3.06%, GE +3.20% vs Boeing -10.69% |
| Health Care | -0.06% | Thermo Fisher +1.19%, AbbVie -0.12% |
| Financials | -0.25% | Goldman Sachs +2.07% vs AmEx -0.68% |
| Communication Services | -0.26% | Meta -1.64% vs Alphabet +1.19% |
| Real Estate | -0.84% | No specific driver found |
| Consumer Staples | -0.92% | Coca-Cola -1.64%, Walmart -0.81% |
| Energy | -2.05% | WTI -1.53%, Exxon -2.51%, ConocoPhillips -2.25% |
🌍 Global Markets
- Europe STOXX 600: Rose 0.47% to 643.68, a second straight gain.
- US Dollar Index (DXY): Rose 0.40% to 102.37. The won weakened alongside dollar strength.
- US 10-year Treasury yield: Up 0.01 percentage point to 4.99%, staying just below 5%.
- WTI crude: Fell 1.53% to $100.20. Hopes for Middle East de-escalation weighed on oil, though Houthi attacks on Saudi Arabia kept supply concerns alive and Brent traded below $110 a barrel.
- Gold: Rose 0.86% to $4,073.1.
🚀 SPCX (SpaceX) Update
SPCX rose 1.14% to $148.58, recovering the previous day's small dip. We found no new SpaceX-specific news on the day, but the effect of Barclays citing a possible SpaceX combination in its Tesla upgrade appears to have carried into a second day. On the October 20 earnings call, Musk said both companies formed special committees of independent directors to evaluate a combination, and SpaceX's 10-Q states that no determination has been made. Because any deal requires approval from more than 50% of all outstanding Tesla shares, the bar to an actual merger is high.
⚠️ Investor Cautions
The biggest risk is that index gains rest on a handful of chip stocks. Six of 11 sectors fell, and even within tech, chips and software moved in opposite directions. As Anthropic's listing approaches, AI spending expectations are rising, but if Big Tech earnings do not confirm them, the two-day rebound could reverse quickly. The macro burden of a 4.99% 10-year yield just below 5% and WTI near $100 is also unchanged.
Be wary of reversals right after earnings, as with Boeing. It rose early on a revenue surprise, then fell more than 10% on guidance disappointment. This week's Microsoft, Alphabet and Amazon results are likely to be driven more by capex plans and guidance than headline numbers. Leveraged products such as TQQQ could see much wider swings on Wednesday, when the FOMC and earnings coincide.
👁 What to Watch Next
The next session is Wednesday, October 28, the week's biggest hurdle, with the FOMC decision and Big Tech earnings on the same day.
- FOMC decision (2 p.m.): Markets expect a hawkish pause, with roughly 10% odds of a hike priced in. Stronger inflation language in the statement or Chair Powell leaving the door open to a December hike could push the 10-year above 5% and weigh on tech. A hold with a cautious tone, by contrast, would leave room for the rebound to continue.
- Microsoft and Alphabet earnings (after the close): Consensus is EPS of $4.72 on $90.61 billion in revenue for Microsoft and EPS of $3.01 on $128.1 billion for Alphabet. Cloud growth and next year's capex plans will decide whether the chip rally lasts.
- S&P 500 7,750: About 0.4% above the 7,722.60 close. A break would recover most of the decline since mid-October, with support at the prior close of 7,676.77.
- Nasdaq 26,500: The 26,477.81 close sits just below. Holding this line would show the chip rally's stamina, with support around 26,169.
- Boeing in the $150s: After closing at $168.18, technical support in the $150s is being cited. Whether oversold buying emerges or the decline extends will also influence the Dow.
💡 Upcoming Events
- 2026-10-28 (Wed): FOMC rate decision, Microsoft and Alphabet earnings (after the close)
- 2026-10-29 (Thu): ECB policy decision, Amazon earnings (after the close)
- 2026-11-03 (Tue): US midterm elections
- Mid-November 2026: Expected Anthropic (ANT) Nasdaq listing
📚 Sources
- Stock market today: Dow, S&P 500, Nasdaq rise as tech gains for second day, chip stocks rally — Yahoo Finance
- Boeing (BA) Q3 2026 earnings — CNBC
- Boeing Reports Third Quarter Results — Boeing
- US Consumer Confidence Increased in October — Conference Board (PR Newswire)
- Broadcom Stock: DA Davidson Upgrades AVGO to Buy After Anthropic IPO Filing — TipRanks
- Why Broadcom Stock Rallied Tuesday Morning — The Motley Fool
- Why is Tesla stock climbing today? — Investing.com
- Why is Visa stock sliding today? — Investing.com
- Stock Market Today: Dow Jones, S&P 500 Futures Trade Mixed as Fed Begins Its Two-Day Meet — Benzinga