US Markets Mixed as Intel Gains Lift Nasdaq Amid DOJ Probe Closure
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NEW YORK — The U.S. stock market closed mixed on Thursday as a surge in Intel Corp. shares helped lift the Nasdaq Composite, even as the Dow Jones Industrial Average declined. The divergence in performance was driven by strong gains in semiconductor and artificial intelligence stocks, alongside news that the Department of Justice closed an investigation into Federal Reserve Chair Jerome Powell.
The Dow Jones Industrial Average fell 0.4 percent, or 112 points, to close at 39,845. In contrast, the Nasdaq Composite rose 0.8 percent, buoyed by technology sector strength. Intel shares jumped 6.2 percent following the company's announcement of a new manufacturing partnership aimed at expanding domestic chip production capacity. The move signaled renewed investor confidence in the legacy chipmaker's turnaround strategy.
Broader enthusiasm for artificial intelligence technology continued to support the sector. Advanced Micro Devices Inc. (AMD) climbed 3.1 percent, while Arm Holdings shares advanced 2.4 percent. The gains reflected sustained demand for high-performance computing components required for AI infrastructure development. Analysts noted that the sector's resilience helped offset losses in other areas of the market.
Separately, the Department of Justice announced the conclusion of a probe into Federal Reserve Chair Jerome Powell. The investigation, which had been ongoing for several months, focused on potential conflicts of interest regarding Powell's financial disclosures. The DOJ stated that no evidence of wrongdoing was found, leading to the formal dismissal of the inquiry. The decision was welcomed by market participants who had cited regulatory uncertainty as a potential headwind for economic policy.
The Federal Reserve's stance on interest rates remains a key focus for investors as the central bank prepares for its next policy meeting. With inflation data showing mixed signals, the market is closely watching for indications of potential rate adjustments in the coming quarter. The closure of the Powell probe removes one variable from the equation, though questions remain regarding the broader economic outlook.
Trading volume was slightly below the 30-day average, suggesting cautious participation despite the positive news flow. The S&P 500 ended the session flat, finishing at 5,210 points. Sector rotation continued to define the day's trading activity, with energy and utilities stocks lagging behind technology and communication services.
Market observers are now looking ahead to earnings reports from major financial institutions scheduled for next week. The results will provide further insight into corporate profitability and consumer spending trends. As the session concluded, the focus shifted to whether the gains in chip stocks can be sustained or if the broader market will face renewed pressure from macroeconomic concerns.