S&P 500 ends higher as investors await tech earnings

Apple hit a session high of US$342.89, briefly lifting its stock market value to US$5 trillion for the first time. (EPA Images pic) NEW YORK: The S&P 500 ended higher on Tuesday as gains in Boeing and Coca-Cola helped offset tumbling chip stocks ahead of quarterly reports from Apple and other tech companies this week.Global markets have been volatile this month as investors worry that Alphabet, Microsoft, Amazon and other technology heavyweights may be overspending on AI data centers as they race to dominate the emerging technology.Microsoft rose 1.1% ahead of its report on Wednesday, while Amazon dipped 0.2% ahead of its results on Thursday.Apple climbed almost 1% to US$340.08. It hit a session high of US$342.89, briefly lifting its stock market value to US$5 trillion for the first time.

The iPhone maker reports its results on Thursday.Chipmakers that have benefited from heavy AI spending added to recent losses, with the PHLX index losing 4.5%. It has fallen about 25% from its record-high close on June 22, and it remains up 56% in 2026.The S&P 500 healthcare index jumped 2.4%, the consumer staples index added 2% and the materials index rose 1.7%, while declining chipmakers kept the tech index down 1.4%."What has been behind the move into these non-tech names? Part of it is value," said Ross Mayfield, investment strategy analyst at Baird in Louisville, Kentucky.

"GDP is solid, the labor market continues to churn along and, in a lot of places, there's evidence that consumer spending is reaccelerating."Coca-Cola rallied 5% after the beverage company raised its annual revenue and profit forecasts.Boeing jumped 4.8% after the airplane maker generated positive free cash flow as its turnaround plans gained momentum.The S&P 500 climbed 0.21% to end the session at 7,428.78 points.The Nasdaq declined 0.22% to 24,876.91 points, while the Dow Jones Industrial Average rose 1.03% to 52,747.32 points.Fed decision in focus The Federal Reserve is due to announce its interest-rate decision on Wednesday. Traders see a 71% probability that the central bank will leave rates unchanged and a 29% chance of a 25-basis-point rate hike, according to CME's FedWatch tool.Higher rates could further pressure AI companies that are becoming more dependent on debt financing.Corning tumbled 12% after third-quarter sales forecasts missed estimates, while contract research firm IQVIA Holdings…