S&P, Dow & Nasdaq Rally: Nvidia, Qualcomm Surge Now

Introduction

U.S. benchmarks moved higher on Oct. 28 as strong corporate results and renewed enthusiasm for AI-related chips pushed the S&P 500, Dow Jones Industrial Average and Nasdaq toward fresh highs. Technology names carrying AI and semiconductor stories—most notably Nvidia and Qualcomm—drove notable gains, while a series of positive earnings reports provided broad upside across sectors. Traders are now focused on the Federal Reserve’s near-term trajectory and an unfolding U.S.-China diplomatic tone that could influence sentiment in coming days.

Earnings as the primary catalyst

Q3 results served as the engine for the rally. A high proportion of S&P 500 companies that reported beat expectations, which reinforced investor confidence and gave cyclical names room to climb alongside tech leaders. Logistics and payments also contributed: UPS posted stronger-than-expected revenue guidance, and PayPal surprised with welcome top-line signals and integrations that excited investors.

How earnings translated into index gains

Think of corporate beats as fresh fuel in a car already rolling uphill: each positive surprise added horsepower. The S&P 500 rose roughly 0.2% to 6,890.89, the Dow climbed about 0.3% to 47,706.37, and the Nasdaq gained 0.8% to 23,827.49. Those moves reflected both headline wins from large-cap companies and a favorable response to forward guidance in key sectors.

Big movers: Nvidia and Qualcomm set the pace

Semiconductor momentum centered on two big stories. Nvidia extended its rally—pushed by ongoing AI deployments and fresh partnerships—registering a multi-percent uptick and continued record-setting valuations. Qualcomm stunned traders with a new AI data-center chip announcement, which lifted its shares by double digits and provided a direct lift to tech-heavy Nasdaq performance.

Why the chip announcements mattered

Investors are treating these product and partnership updates as validation that chipmakers are moving from hype to measurable revenue opportunities. When a firm like Qualcomm signals a credible path into data-center AI chips, it changes revenue expectations and forces portfolio managers to reweight exposure—often rapidly—into names poised for substantial growth.

Winners and losers across sectors

Beyond semiconductors, corporate earnings created clear winners and losers. UPS surged about 8–9% after beating estimates and raising guidance for the holiday quarter. PayPal posted better-than-expected numbers and incremental product partnerships, sending its stock higher. Regeneron climbed after strong clinical and financial updates.

On the downside, some real-estate and travel-related names pulled back after disappointing guidance: Alexandria Real Estate Equities suffered a sharp drop following a miss and weaker outlook, and Royal Caribbean slid amid softer-than-expected bookings and margin pressure.

Volatility and policy watch

Volatility eased—VIX dipped into mid-teens territory—reflecting calmer investor positioning, but the tempo could change quickly. The Federal Reserve remains the key macro pivot: traders are pricing in a possible 25-basis-point easing path later in the cycle, contingent on incoming inflation and labor data. Additionally, improving diplomatic signals between the U.S. and China are being parsed as a potential tailwind for multinational exporters and technology supply chains.

Practical takeaway for investors

High-conviction investors may want to reassess semiconductor and AI-related allocations in light of recent product wins and clearer commercialization signals. Short-term traders should watch guidance and upcoming big-tech earnings dates, while longer-term holders should consider whether recent rallies are supported by durable revenue trajectories or primarily sentiment-driven.

Conclusion

In short: strong quarterly results and fresh AI chip developments pushed the S&P 500, Dow and Nasdaq higher on Oct. 28, with Nvidia and Qualcomm among the most influential movers. Broad earnings beats—led by UPS and PayPal—helped extend the rally, while a few names with disappointing guidance saw steep declines. Investors are now focused on the Federal Reserve’s next steps and the implications of improving U.S.-China relations. The immediate outlook hinges on upcoming data releases and large-cap tech earnings; if corporate guidance continues to validate recent gains, the current run could sustain, but any notable policy surprise or macro shock would quickly recalibrate sentiment.