US Equity Indexes Mixed as Technology, Communication Services Decline

US equity indexes traded mixed after midday Tuesday as a drop in Mag-7 giants pushed technology and communication services lower.

The Nasdaq Composite dropped 1.1% to 21,397.8 following an intraday decline in six Mag-7 stocks, including Nvidia (NVDA), which was down 2.4%. The S&P 500 fell 0.5% to 6,419.4 while the Dow Jones Industrial Average was little changed at 44,905.1. Real estate and consumer staples were among the biggest gainers intraday.

US Secretary of Commerce Howard Lutnick confirmed that the Trump administration is seeking a stake in Intel (INTC), CNBC reported. Lutnick cited national security concerns as the reason behind the potential investment. The government may convert part of its previously committed $8 billion in CHIPS Act grants into an equity investment of up to 10% in Intel, UBS Securities cited media reports in its note.

Separately, Intel will receive a $2 billion equity investment from SoftBank Group at $23 per common share, the companies said. Shares of the chipmaker jumped 7.5% intraday, the top gainer on the S&P 500 and the Nasdaq.

Meanwhile, Home Depot (HD), kicking off quarterly results of bulge-bracket retailers, reported higher fiscal Q2 adjusted earnings and net sales on Tuesday. Shares jumped 3.3% intraday, the top gainer on the Dow.

In geopolitical news, the US could offer air support to Ukraine in the form of defence assistance in the event of a peace deal with Russia. "We're willing to help them with things, especially, probably talk about by air, because there's nobody [who has the] kind of stuff we have," President Donald Trump reportedly said on Fox & Friends.

Trump has, however, ruled out sending US troops to Ukraine to enforce a peace deal, CNN reported.

Trump also said he "sort of set up" a meeting between Ukrainian President Volodymyr Zelensky and Russian President Vladimir Putin, but that they "have to call the shots," the news agency reported. The Kremlin on Tuesday reiterated its refusal to commit to a meeting but stopped short of ruling out further talks, according to the CNN report.

West Texas Intermediate crude oil futures dropped 1.1% to $62.72 a barrel.

Gold futures fell 0.3% to $3,366.5 per ounce, and silver futures dropped 1.6% to $37.44.

Most US Treasury yields fell, with the 10-year yield down 2.7 basis points to 4.31% and the two-year rate slid 2.1 basis points to 3.75%.