The S&P 500 notched its first record high since August, lifted by solid corporate earnings and the outlook for artificial intelligence-related spending.

The S&P 500 rose 0.6% on Tuesday, advancing for a fourth straight session in its longest winning streak in about two months, as investors temporarily set aside lingering inflation concerns. Gains were broad, with every sector except health care finishing higher. The tech-heavy Nasdaq 100 added 0.5% and also touched a record high. The Cboe Volatility Index hovered near 15, while the 10-year US Treasury yield fell for the first time in three days.

Strong corporate profits, enthusiasm surrounding AI trades, and a US economy that has so far avoided a sharp slowdown have combined to push the S&P 500 up roughly 14% this year. Falling oil prices provided additional support for the rally, helping ease concerns about rising costs for consumers.

In the AI space, Marvell Technology Inc shares jumped after the company raised its guidance at an investor day. Vital Knowledge founder Adam Crisafulli called it a "very upbeat forecast." AMD Chief Executive Officer Lisa Su said chip demand is likely to remain "very high" in the coming years.

Investors' confidence in whether the rally can continue rests heavily on high expectations for upcoming results from large technology companies. Data from Bloomberg Intelligence showed third-quarter earnings per share for the tech sector are expected to grow about 66%, a pace second only to the energy sector.

Divergence emerged within US equities, with strategists including David Chew saying bearish sentiment toward small-cap stocks is building as investors continue to add to short positions in Russell 2000 futures. At the close, the S&P 500 rose 0.6% to 7,818.93; the Dow Jones Industrial Average rose 0.5% to 51,521.28; the Nasdaq Composite rose 0.5% to 27,599.79; the Nasdaq 100 rose 0.5% to 31,224.47; and the Russell 2000 fell 0.6% to 2,830.297.