Asger Risom
U.S. markets steadied on Wednesday morning, rebounding from earlier losses as traders braced for a quarterly update from Nvidia — a company whose results often sway the entire tech sector.
U.S. markets steadied on Wednesday morning, rebounding from earlier losses as traders braced for a quarterly update from Nvidia — a company whose results often sway the entire tech sector. Anticipation over its earnings set the tone across global markets.
The tech giant is widely viewed as a barometer for the momentum behind artificial intelligence spending.
Market Moves
Ahead of the opening bell, S&P 500 futures rose 0.3%, while Dow Jones Industrial Average futures edged 0.1% higher and Nasdaq futures added 0.4%. Nvidia’s stock also climbed around 2% in early trading.
The company reports results after the market close, and its influence is such that its movements can pull the broader S&P 500 with it. Surging global demand for its AI chips has propelled Nvidia to brief moments above $5 trillion in market value this year.
Other major retailers and industrials saw their own premarket swings as investors assessed the day’s news, as reported by The Associated Press.
Retailers Diverge
Target slid 1.9% after reporting a sharp drop in third-quarter profit. The company warned that its sales downturn is likely to continue through the holiday shopping season. Inflation-strained consumers have been slow to return, and Target’s stock has fallen 43% over the past year.
Lowe’s, in contrast, jumped more than 5% after exceeding Wall Street’s earnings expectations and raising parts of its full-year outlook.
Constellation Energy also gained ground. Its shares climbed 3.4% after the U.S. Department of Energy said it would provide a $1 billion loan to help restart a nuclear reactor at Three Mile Island in Pennsylvania. The facility is set to supply power to Microsoft data centers.
Global Indicators
European indexes saw modest midday gains. France’s CAC 40 edged up 0.1%, Germany’s DAX gained 0.4%, and the U.K.’s FTSE 100 held steady.
Asia delivered a mixed session. Japan’s Nikkei 225 closed 0.3% lower, Hong Kong’s Hang Seng slipped 0.4%, and South Korea’s Kospi declined 0.6%. The Shanghai Composite rose 0.2%, while benchmarks in Australia and Taiwan also retreated.
Energy markets weakened, with U.S. crude falling $1.17 to $59.50 a barrel. Brent crude dropped $1.16 to $63.73.
Anticipation Builds
With Nvidia’s results looming, traders remained cautious but optimistic that the company’s AI-driven growth will continue to be a stabilizing force for markets. Whether that momentum endures — or raises fresh questions about the sustainability of the AI boom — will become clearer once the chipmaker closes out the trading day.
Sources: The Associated Press
This article is made and published by Asger Risom, who may have used AI in the preparation
