US Stocks Edge Higher Amid Trump’s Fed Feud and Nvidia Earnings Anticipation

US equities advanced modestly on Tuesday as markets digested political turbulence at the Federal Reserve and positioned for Nvidia's upcoming earnings report. The Dow Jones Industrial Average gained 0.3%, while the S&P 500 and Nasdaq Composite each ROSE 0.4%, recovering from Monday's pullback after last week's record highs.

Political uncertainty weighed on sentiment as former President TRUMP escalated his campaign to remove Federal Reserve Governor Lisa Cook, alleging misconduct. Cook has vowed to challenge what her attorney called an "illegal action," setting the stage for a legal battle that could undermine Fed independence. Treasury yields showed mixed movement, with the 10-year note dipping to 4.26% while longer-dated bonds edged higher.

Market participants maintained cautious positioning, balancing political risks against anticipation for Nvidia's earnings release—a key event for tech investors. The chipmaker's results could provide fresh direction for markets that have rallied sharply on AI Optimism this year.