Most stocks climbed on Tuesday, buoyed by falling oil prices and strong corporate earnings. However, chipmakers continued to drop.
The Dow Jones Industrial Average gained 1.10%, while the S&P 500 climbed 0.28%. The tech-heavy Nasdaq Composite fell 0.22% after software stocks rose, offsetting continued losses from chipmakers.
Oil prices fell further as a result of the absence of hostilities between the U.S. and Iran around the Strait of Hormuz. Brent crude, the international benchmark, fell close to 5% and stood below $82 a barrel after hitting $100 less than a week ago. West Texas Intermediate, the U.S. benchmark, dropped 4.44% and hovered below $79 a barrel at the same time.
Gulf states have backed a proposal that would allow Iran to charge fees to vessels going through the Strait of Hormuz if the payments are made voluntarily, according to a new report.
Reuters detailed that Oman, which controls the opposite shore of the strait, has won the backing of other Gulf states for the plan as negotiations between the countries appear to continue.
The proposal would be similar to that in place at the Strait of Malacca, where Indonesia, Malaysia and Singapore ask ships to give voluntary donations for, among other things, environmental protection and search-and-rescue operation.
Apple stood out during the session, topping a $5 trillion valuation for the first time on Tuesday and becoming the second company to ever do so. Reuters noted that the company's value stood at $5.036 trillion after reaching a session high of $342.89.
The company is now the most valuable in the world, overtaking Nvidia, which has been sliding over the past weeks amid a broader rout in the chipmaker sector.
Apple is set to report results on Thursday. The company is expected to provide information about the impact of global chip shortages, which led the company to raise prices in June.
SpaceX reversed earlier losses and climbed during the session. However, it has fallen about 20% below its IPO price and more than $100 since its high of $225.64.
