*

S&P 500, Nasdaq higher in afternoon trading

*

U.S. dollar index edges up, dollar up vs yen

*

Nvidia ( NVDA ) shares bounce after recent losses

(Updates to 2:15 p.m. ET)

By Caroline Valetkevitch

NEW YORK, June 25 (Reuters) - Global stock indexes

mostly climbed on Tuesday, with shares of chipmaker Nvidia ( NVDA )

bouncing after recent losses, while the dollar gained slightly

against the Japanese yen.

Nvidia's ( NVDA ) stock was up more than 5% in afternoon

U.S. trading. The Nasdaq was more than 1% higher, and the S&P

500 technology and communication services

sectors were the only two positive sectors on the day.

Excitement over artificial intelligence has powered stocks

like Nvidia ( NVDA ) higher and helped to lift the U.S. stock market to

recent record highs, but it remains to be seen whether that will

continue, or for how long.

The chipmaker had rocketed higher to briefly become the

world's biggest company last week, but tumbled around 16 percent

from last Thursday's peak to this Monday's close.

"It's another day of fairly narrow equity markets," said

Chad Oviatt, director of investment management at The Huntington

National Bank in Akron, Ohio.

"The Mag 7 seem to be pushing things... and that's been

a theme all year," he said, referring to the Magnificent 7 group

of tech-related stocks, which include Nvidia ( NVDA ). "A lot of market

participants are just waiting for some additional broadening

out" of the market.

Investors are also gearing up for data on the personal

consumption expenditures price index on Friday, which could

provide further clues on the inflation picture and when the

Federal Reserve might begin cutting interest rates.

They also await snap elections in France starting at the

weekend and the first U.S. Presidential debate on Thursday.

The Dow Jones Industrial Average fell 312.71

points, or 0.79%, to 39,098.50, the S&P 500 gained 14.85

points, or 0.27%, to 5,462.72 and the Nasdaq Composite

gained 197.54 points, or 1.13%, to 17,694.36.

MSCI's gauge of stocks across the globe

rose 1.90 points, or 0.24%, to 803.18. The STOXX 600

index fell 0.23%.

The U.S. dollar rose,

bolstered in part

by hawkish comments from a Fed official.

Fed Governor Michelle Bowman repeated her view on

Tuesday that holding the policy rate steady "for some time" will

likely be enough to bring inflation under control. She also

reiterated her willingness to raise borrowing costs if needed.

The yen was keeping traders alert for any signs of

further intervention from Japanese authorities to prop up the

currency as it traded just above a two-month low of around 160

to the dollar.

It hit a record low against the euro of 171.49 on

Monday as pressure on the currency mounted thanks to interest

rates in Japan that remain far lower than in the United States

and Europe.

Against the Japanese yen, the dollar strengthened

0.08% at 159.71.

The dollar index, which measures the greenback

against a basket of currencies, gained 0.1% at 105.62, with the

euro down 0.18% at $1.0713.

In Treasuries, the yield on benchmark U.S. 10-year notes

fell 0.6 basis points to 4.242%, from 4.248% late on

Monday.

U.S. crude lost 0.7% to $81.06 a barrel and Brent

fell to $85.24 per barrel, down 0.9% on the day.