Dow closes at record high as tech losses drag S&P 500, Nasdaq lower

US stocks closed mixed Wednesday as the Dow Jones Industrial Average reached another record high, while weakness in major technology stocks pushed the S&P 500 and Nasdaq lower.

The Dow gained 263.24 points, or 0.49%, to close at 54,349.12, extending its winning streak to five sessions.

The S&P 500 fell 12.97 points, or 0.17%, to 7,723.55 after touching a record intraday high earlier in the session.

The Nasdaq Composite dropped 221.55 points, or 0.83%, to 26,363.44, weighed down by declines in Advanced Micro Devices (AMD) and Alphabet.

Nvidia rose about 3.4% after SpaceX Chief Executive Officer Elon Musk said the company would exclusively use Nvidia processors for its artificial intelligence computing infrastructure.

SpaceX shares, however, fell 13.6% after the company reported second-quarter capital expenditures had surged sixfold to $18.4 billion, exceeding market expectations as investment in AI infrastructure accelerated.

AMD lost about 7% after its adjusted earnings only narrowly beat analysts' forecasts.

Alphabet fell roughly 4% after announcing a restructuring of its artificial intelligence divisions and the departure of Chief Scientist Jeff Dean after 27 years with the company.

Investors also continued to monitor diplomatic efforts to reopen the Strait of Hormuz, which have supported risk appetite and helped push oil prices lower earlier in the week.

Brent crude slipped 0.2% to $79.20 a barrel, while US benchmark West Texas Intermediate crude fell 1.1% to about $74.90.

The yield on the benchmark 10-year US Treasury note declined 1.2 basis points to 4.615%.

European markets

European stocks closed mixed, with optimism over a possible agreement to reopen the Strait of Hormuz and strong corporate earnings offset by continued geopolitical uncertainty.

The pan-European Stoxx Europe 600 rose 0.04% to a record closing high of 657.14.

France's CAC 40 gained 0.03%, Britain's FTSE 100 rose 0.08% and Spain's IBEX 35 added 0.17%, while Germany's DAX 40 fell 0.29% and Italy's FTSE MIB 30 lost 0.18%.

Germany’s DAX 40 fell 0.29% to 26,126.3, while Italy’s FTSE MIB 30 slipped 0.18% to 53,446.8.