US stocks were mixed on Tuesday as investors weighed the Senate’s vote to end the record-breaking government shutdown and SoftBank’s surprise $5.8 billion sale of its entire Nvidia stake. The Dow Jones Industrial Average (DJI) rose 0.4%, the S&P 500 (GSPC) edged 0.2% higher, and the Nasdaq Composite (IXIC) dipped 0.3%, with tech shares under pressure following the SoftBank news.
The market’s tone was cautiously optimistic, as traders balanced hopes for fiscal relief against signs of cooling momentum in megacap tech. Progress toward reopening the government provided a lift to cyclical sectors, while AI-linked stocks remained volatile amid shifting investor sentiment.
Market Movers:
- BigBear.ai (BBAI) +14% — Shares jumped after the company reported better-than-expected Q3 results and announced a $250 million acquisition of Ask Sage, expected to generate $25 million in ARR next year — nearly six times its 2024 level. Management reaffirmed full-year guidance of $125–$140 million in revenue and said M&A will remain a key driver of growth.
- Paramount Skydance (PSKY) +10% — Shares rose after the newly merged media company posted its first earnings report since August. Revenue held steady at $6.7 billion as streaming growth offset TV declines, while filmed entertainment surged 30% on the integration with Skydance. The company guided Q4 revenue to $8.1–$8.3 billion, above expectations.
- Rocket Lab (RKLB) +7% — The space launch company reported a 48% year-over-year revenue increase to a record $155 million and narrowed its EPS loss. With 17 new Electron launch contracts and record backlog momentum, Rocket Lab expects to break its annual launch record in Q4.
- Viasat (VSAT) +7% — Shares rallied after J.P. Morgan upgraded the stock to Overweight, citing potential value unlock from a spinoff of its defense and advanced tech unit. The firm highlighted strong backlog growth, upcoming satellite launches, and rising government connectivity demand.
- CoreWeave (CRWV) -13% — Shares slumped after the company guided 2025 revenue to $5.05–$5.15 billion but warned of heavier-than-expected CapEx spending of up to $14 billion due to project delays. Management said additional data center expansion could double CapEx again in 2026.
- Applied Digital (APLD) -10% — Shares tumbled after its subsidiary announced plans to issue $2.35 billion in senior secured notes due 2030 to finance new North Dakota data centers and repay debt. The move sparked dilution concerns among investors.
- CleanSpark (CLSK) -6% — The bitcoin miner slipped after upsizing a $1.15 billion convertible note offering, set to fund power and land expansion and repay bitcoin-backed credit lines. About $460 million of proceeds will go toward share buybacks, with total net proceeds up to $1.28 billion if options are exercised.
Shutdown Progress Calms Markets
Investor sentiment improved as the US Senate advanced a bill to reopen the government following more than a month of gridlock. The measure passed with bipartisan support, temporarily easing fiscal uncertainty and opening the door for the release of delayed economic data.
Analysts said a government reopening could boost short-term consumer confidence and restore clarity to the Federal Reserve’s decision-making process. The lack of recent data has clouded inflation and labor market forecasts, forcing policymakers to rely on outdated indicators ahead of December’s meeting. Market reaction remained muted, however, as uncertainty lingered over the bill’s path through the House and the potential impact of renewed government spending on inflation expectations.
SoftBank’s Nvidia Sale Reverberates Across AI Sector
The day’s major corporate headline came from SoftBank Group (SFTBF), which confirmed the $5.8 billion sale of its entire Nvidia (NVDA) stake to fund new AI ventures. Founder Masayoshi Son said proceeds will go toward data centers, robotics, and AI hardware through partnerships with OpenAI and Oracle.
Nvidia shares fell more than 3% on the news, dragging broader semiconductor peers lower. Investors interpreted the sale as a sign that large stakeholders may be locking in profits after the chipmaker’s historic multi-trillion-dollar rally. Still, analysts characterized the move as strategic rather than pessimistic, allowing SoftBank to redeploy capital toward infrastructure projects expected to anchor the next wave of AI innovation.
AI and Tech Spending in Focus
The SoftBank development comes amid a broader debate about AI’s investment sustainability. Big Tech firms — including Meta, Alphabet, and Microsoft — are on pace to spend over $1 trillion on AI infrastructure this decade. While enthusiasm for generative AI remains high, some investors worry that costs are rising faster than near-term revenue growth. Meanwhile, smaller AI-adjacent firms such as BigBear.ai and Rocket Lab have gained favor among investors seeking exposure to the sector’s expansion without the extreme valuations of megacap peers.
Looking Ahead
Markets will continue to monitor fiscal developments in Washington and central bank commentary this week for clues about the timing of rate cuts. Investors are also watching for upcoming inflation data releases — if the shutdown resolution allows them to proceed — which could heavily influence December’s Fed decision. With earnings season winding down and AI capital flows under renewed scrutiny, traders appear to be shifting toward a more selective, fundamentals-driven market environment heading into year-end.