Stock Market Today: Nasdaq ends at a record high; S&P 500 not far behind as falling oil prices fuel a stock rally

The Nasdaq Composite closed at a record high Tuesday, with the S&P 500 finishing just shy of its own all-time mark, as falling oil prices and renewed buying in mega-cap technology stocks powered a broad rally.

Oil's decline eased inflation concerns that had weighed on equity sentiment in recent sessions, lifting risk appetite across growth-sensitive sectors. Mega-cap tech names—which carry heavy index weight—drove the advance, pushing the Nasdaq to its fresh closing record while the S&P 500 approached but did not eclipse its prior peak.

The dual tailwind of cheaper crude and large-cap tech strength outweighed lingering uncertainty around interest-rate policy and corporate earnings outlook. Lower energy costs reduce input expenses for corporations and dampen consumer price pressure, both supportive for equity valuations in a higher-rate environment.

The rally underscores the market's sensitivity to commodity swings and the outsized influence of the largest technology stocks on headline index performance.