US equities were mixed on Wednesday as broad gains for traditional sectors clashed against sharp losses for chip producers and AI hyperscalers. The S&P 500 edged below the flatline and the Nasdaq 100 dropped 0.7%, both retreating from their record highs. Nvidia and Intel dropped 3% while Qualcomm sank 9%, correcting from their strong momentum this year as markets continued to assess the sustainability of the rally for companies in the AI infrastructure space. On the other hand, Micron held its 19% surge from the last session after having its price target tripled by UBS. Meanwhile, the Dow rose 300 points to a record high amid. A draft to a peace agreement with the US by Iran indicated they were open to restore trade through the Persian Gulf, although the US stated the document was a complete fabrication. Amazon and Apple were nearly 2% higher each, while Eli Lilly, Coca Cola and P&G gained up to 3.5% to set the pace for defensive stocks.

US equities were muted on Wednesday, stalling their strong momentum near their record highs amid uncertainty on the sustainability of chip producers and cautious optimism around an agreement with Ukraine. The S&P 500 and Dow were above the flatline at a historic peak, while Nasdaq 100 inched lower. State media in Iran showed an unofficial draft of a peace deal with the US that pledged tanker flows through the Strait of Hormuz to be restored within one month of an agreement, pressuring energy prices and Treasury yields in the session. The improved backdrop supported the Dow following yesterday's underperformance, with P&G adding 2.5% to support consumer defensive companies. In turn, Micron added 2% following its 19% surge yesterday after UBS tripled its price target on the company. On the other hand, software was lower with Microsoft, Amazon, and Alphabet down more than 1%, while Salesforce inched higher ahead of its earnings after the bell.

The Dow Jones Index is up by 141 points or 0.28 percent on Wednesday. Top gainers are Nike (2.91%), P&G (2.77%) and Home Depot (2.46%). Biggest losses came from JPMorgan (-1.77%), Caterpillar (-1.53%) and Chevron (-1.45%).